The Rupee opened weaker on Tuesday, pressured by higher oil prices amid stalled U.S.-Iran ?peace talks, with traders looking to the Reserve Bank of ?India to intervene again to limit the currency's decline. On Monday, the central bank likely sold dollars near 95.25, but the ?local currency still slipped, underscoring the pressure from importer hedging and higher oil prices. RBI has been "consistently" on the offer in dollar/rupee, and without that, the pair ?would definitely be well past 95.50, a currency trader at a ?bank said. Uncertainty over a U.S.-Iran peace deal and the reopening of the Strait of Hormuz pushed Brent crude 5% higher on Monday. The oil market remains highly ?choppy, hinging on ?news flow around ?any signs of progress on a peace deal that could lead to the reopening of the ?key strait. U.S. President Donald Trump on Monday responded to ?Iran's list ?of demands with his own conditions for a peace deal. Brent added to Monday's rally in Asia trading, inching towards the $88 a barrel level. ?The ?rise in oil prices pushed U.S. Treasury ?yields higher, with the 10-year yield climbing to around 4.70%, reversing the decline triggered ?by softer U.S. jobs data. The yen steadied on Tuesday after a sharp drop in the previous session as the joint U.S.-Japan intervention failed to deliver a lasting boost, while the Australian dollar was at an eight-week high ahead of ?a policy decision from the country's central bank. The yen firmed to 158.93 per U.S. dollar in Asian ?hours, but remained further away from the three-month high of 155.20 hit last week in the wake of the rare U.S.- Japan yen-buying intervention at the end of July. The joint effort came after the yen hit a 40-year low of 163.99 per dollar but the yen has since erased nearly ?half of the gains, leaving traders speculating it was a matter of when, not if, authorities would return to ?the currency market. Investor focus later in the day will be on the Reserve Bank of Australia policy decision, where the RBA is expected to keep its policy rate unchanged with the focus on comments from policymakers. The Aussie stood at $0.7057. The U.S. dollar was steady against most major currencies as oil prices hovered near one-week highs amid dimming hopes of a deal between the U.S. and Iran to end the conflict in the Middle ?East. The ?euro fetched $1.1544 while sterling was at $1.3509 in Asian hours. Oil prices rose on Tuesday as negotiations between the U.S. and Iran over a peace deal and the ?reopening of the Strait of Hormuz hit an impasse, while Asian shares drifted on protracted uncertainty over the global inflation outlook. Brent crude futures edged up to hit $88.00 per barrel and U.S. crude futures ticked up to $82.45, both the highest levels since July ?31, after the contracts rallied roughly 5% on Monday.......
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