Rupee hits report low, plunges 67 paise to 87.29 towards US greenback in early commerce – India TV
The rupee plunged 67 paise to hit a report low of 87.29 towards the US greenback in early commerce right this moment i.e. on February 3, 2025. The sharp fall comes after Trump Tariffs on Canada, Mexico and China triggered fears of a broad commerce struggle.
US President Donald Trump has slapped Canada and Mexico with 25 per cent duties and China with a ten per cent responsibility. Whereas China is but to reply, Canada and Mexico have vowed retaliatory tariffs.
The rupee continued to face stress as a consequence of sustained overseas fund outflows and the broad energy of the American foreign money within the abroad markets as a consequence of unabated greenback demand from oil importers and weak danger urge for food, they added.
On the interbank overseas trade, the rupee opened at 87.00 and slipped additional to 87.29 towards the dollar in preliminary offers, a plunge of 67 paise from its earlier shut.
On Friday, the rupee settled flat at 86.62 towards the American foreign money.
“The beginning of the week noticed monetary markets on edge as US President Donald Trump adopted via on his tariff threats, imposing duties on imports from Mexico, Canada, and China,” CR Foreign exchange Advisors MD- Amit Pabari mentioned.
This escalating commerce struggle has fuelled danger aversion, propelling safe-haven demand for the US greenback, which has surged towards 109.50 ranges, Pabari added.
In the meantime, the greenback index, which gauges the dollar’s energy towards a basket of six currencies, was buying and selling 1.30 per cent greater at 109.77.
“The US greenback surged on Trump Tariffs sending international FX to multi-year lows because the Euro fell to 1.0224, GBP to 1.2261 and Yen to 155.54.
The US greenback index rose to 109.77, whereas US 10-year yields have been at 4.4980 per cent.
“Amongst Asian currencies Yuan slumped to 7.3551, IDR to 16448 and KRW to 1470,” mentioned Anil Kumar Bhansali, Head of Treasury and Government Director Finrex Treasury Advisors LLP.
Brent crude, the worldwide oil benchmark, rose 0.71 per cent to USD 76.21 per barrel in futures commerce.
With PTI inputs
