In early trading on Thursday, the rupee fell 22 paise to 87.41 against the US dollar as emerging currencies, particularly the rupee, were affected by the most recent US tariff measures. According to forex professionals, the recent US tariff pronouncements have rocked international markets and strengthened the currency.
The rupee declined 22 paise from its previous finish at the interbank foreign exchange, opening at 87.26 and dropping to 87.41 versus the US dollar. The rupee dropped 47 paise versus the US dollar on Tuesday, ending the day at 87.19. Because of Mahashivratri, the stock, exchange, and commodities markets were closed on Wednesday.
As US President Donald Trump reiterated his commitment to tariffs and declared that penalties on Canada and Mexico would begin on April 2, global financial markets saw a resurgence of volatility. He raised concerns of a retaliatory response from the European Union by implying a possible reciprocal 25% charge on European goods, further exacerbating trade tensions. The US dollar’s gains are being restrained, meanwhile, by the postponement of the 25% tariffs on Canadian and Mexican exports, which were initially scheduled to go into effect on March 4 but were moved to April 2.
The dollar index, which measures the strength of the US dollar relative to a basket of six other currencies, was up 0.19% at 106.62. In futures trading, the price of Brent crude, the world’s benchmark for oil, increased by 0.30 percent to USD 72.75 a barrel.
As the current global challenges exceed the benefits, the USD/INR pair is predicted to stay at high levels, with firm support at 87 and resistance at 87.50-87.60.
on morning trade, the 30-share BSE Sensex was up 11.84 points, or 0.02 percent, at 74,613.96 on the domestic equities market, while the Nifty was down 1.50 points, or 0.01 percent, at 22,546.05.Exchange data shows that on Tuesday, foreign institutional investors (FIIs) sold off stocks in the capital markets for a net total of Rs 3,529.10 crore.
