The Indian Rupee is set to fall into new record lows if the US-Iran crisis drags on for longer

USD/INR is extending higher as renewed US-Iran tensions push oil prices up and keep pressure on the Indian rupee. The article argues the rupee remains structurally bearish versus the US dollar, with the conflict likely sustaining upside in USD/INR unless there is clear de-escalation. On the USD side, softer US inflation has reduced July Fed hike odds, but broader downside in the dollar may be limited by inflation risks tied to the crisis. Technically, USD/INR has broken above the 96.10 resistance area and printed new record highs; buyers are expected to defend trendline support on pullbacks, while sellers need a break below trendline support to target 94.00. Upcoming US jobless claims and flash PMIs are secondary to the geopolitical headlines.