The Indian rupee plunged 70 paise in opening trade on Monday to 71.62/$ vs. Friday's close of 70.92/$, as crude oil climbed 10% due to drone attacks on Saudi's oil facilities.
The attacks have caused a major supply disruption, affecting 5% of the global oil supply. Brent crude spiked to $67/bbl-levels following the incident.
Following this, President Donald Trump said the US is "locked and loaded" to respond to the attack on Saudi oil infrastructure which the US administration blamed on Iran, with Saudi rushing to restart operations at the affected plants.
The local unit soared for the 7th straight session on Friday and appreciated above the 71/$-mark to 70.92/$, up 22 paise, on softening crude oil prices and easing US-China trade tensions.
Meanwhile, Indian benchmark indices opened in the red, with the Sensex falling 173 points to 37,210, and the Nifty shedding 81 points to slip below the key 11,000 level.
Asian markets traded mixed as weak Chinese data and geopolitical tensions in the Middle East outweighed US-China trade developments. China's August industrial output growth slowed to a 17-1/2 year low.
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