The Rupee closed to its weakest level in more than a month on Monday, as oil prices rose ?after U.S. and Iran traded strikes, with Tehran saying it had ?closed the vital Strait of Hormuz. Brent crude rose 3% to $78 per barrel, keeping markets jittery over ?the impact of higher energy costs if the hostilities in the Gulf carry ?on. Steep increases in oil can widen India's, the world's third-largest energy importer, current account ?deficit, slow growth, and lift inflation. A key currency options market gauge of rupee depreciation risk - the 1-month 25-delta dollar-rupee risk reversal - drifted to 0.3 from nearly 0 at the start of the ?month. A rise shows that demand for options betting on a weaker rupee has ?outpaced the appetite for wagers on a rise in the South Asian unit. The pound fell slightly on Monday as currency markets wavered in response to renewed hostilities between the U.S. and Iran, which pushed ?up oil prices and fanned inflation fears. U.S. and Iranian forces ?exchanged heavy missile and drone attacks over the weekend and into Monday, with Tehran striking U.S. facilities in the region and saying it had again closed ?the Strait of Hormuz. The U.S. military said it had struck Iranian ?air defence systems, coastal radar sites, and other sites. Oil ?prices rose, with Brent crude last up 2% at $77.60. The U.S. dollar , ?which investors consider a safe haven in times of uncertainty, climbed against ?certain currencies including the pound. Sterling , which is largely driven by the dollar, was last 0.1% lower at $1.339. The euro rose 0.2% to 85.38 pence, after falling to its ?lowest in a year against the pound last week. The pound has remained relatively strong this year, however, as the UK economy has held up slightly ?better than ?expected. Sterling has slipped 0.6% in 2026 versus ?the dollar compared to a 2.7% fall in the euro. U.S. forces conducted another wave ?of strikes on Iranian targets on Sunday, with Tehran then targeting U.S. facilities in Bahrain, Kuwait, Oman and Jordan on Monday. Brent crude jumped early on ?Monday to nearly $80 per barrel before paring some of those gains to trade around $78/bbl - a response that, like last ?week's, seems fairly restrained, with prices still below levels seen before the shaky interim peace deal was signed in mid-June.......