Currency watch: Rupee rises 16 paise to 85.76 against dollar; crude oil slide & weak greenback lift sentiment
At the interbank foreign exchange market, the rupee opened at 85.97 and moved in a tight range between 85.75 and 85.97 during the session. It eventually ended the day at 85.76, recovering from its previous close of 85.92, PTI reported.
"The Reserve Bank of India has been guarding the rupee at the 86.00 level and on Tuesday also ensured that the rupee opens a tad higher than 86," said Anil Kumar Bhansali, Head of Treasury and Executive Director at Finrex Treasury Advisors LLP.
He added, "For tomorrow (Wednesday), we expect the rupee to be in the range of 85.50–86.10 with expectations of more flows."
Dollar, crude prices ease
The dollar index, which tracks the US currency against a basket of six peers, declined 0.11% to 97.97, supporting emerging market currencies. Brent crude, the global oil benchmark, was down 0.43% to $68.91 per barrel in futures trade, reducing pressure on India's import bill.
Trade talks and equity flows in focus
The gains in the rupee were tempered by ongoing concerns over the outcome of bilateral trade negotiations between India and the US.
by Taboola
by Taboola
Sponsored Links
Sponsored Links
Promoted Links
Promoted Links
You May Like
Đây có thể là thời điểm tốt nhất để giao dịch vàng trong 5 năm qua
IC Markets
Tìm hiểu thêm
Undo
A team from India's commerce ministry is currently in Washington for the latest round of discussions on the proposed bilateral trade agreement. The four-day meeting began on Monday and is set to conclude on Thursday.
M
eanwhile, India's merchandise exports held steady at $35.14 billion in June, while the trade deficit narrowed to a four-month low of $18.78 billion, according to government data released Tuesday.
On the domestic equities front, both benchmark indices ended in the green. The Sensex rose 317.45 points to close at 82,570.91, and the Nifty advanced 113.50 points to settle at 25,195.80.
Foreign institutional investors (FIIs) were net buyers on the day, purchasing equities worth Rs 120.47 crore, according to stock exchange data.
Stay informed with the latest
business
news, updates on
bank holidays
and
public holidays
.
AI Masterclass for Students. Upskill Young Ones Today!– Join Now
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Business Standard
30 minutes ago
- Business Standard
Lemon Tree Hotels launches 6th property in Tamil Nadu
Lemon Tree Hotels has signed a license agreement viz Lemon Tree Resort, Erode, Tamil Nadu. This managed hotel is the group's sixth property in Tamil Nadu. The property shall be managed by the companys wholly owned subsidiary, Carnation Hotels. Lemon Tree Resort, Erode, Tamil Nadu, will feature 64 well-appointed rooms, Citrus Caf multi-cuisine restaurant, and a conference facility to meet the requirements of discerning guests. Lemon Tree Hotels (LTHL) is one of the largest hotel chains in India and owns/leases/operates/franchises hotels across the upscale, upper-midscale, midscale, and economy segments. The group offers seven brands to meet guests needs across all levels, viz., Aurika Hotels & Resorts, Lemon Tree Premier, Lemon Tree Hotels, Red Fox Hotels by Lemon Tree Hotels, Keys Prima by Lemon Tree Hotels, Keys Select by Lemon Tree Hotels, and Keys Lite by Lemon Tree Hotels. The company reported a 26.37% jump in consolidated net profit to Rs 84.64 crore, while revenue from operations rose 15.64% to Rs 378.51 crore in Q4 March 2025 over Q4 March 2024. Shares of Lemon Tree Hotels rose 0.95% to Rs 153.50 on the BSE.
Time of India
35 minutes ago
- Time of India
Would Europe actually retaliate against Trump's tariffs?
European Union officials have spent this week working to finalize a plan to retaliate against President Donald Trump 's tariffs, laying the groundwork to hit more than $100 billion worth of American imports with levies if negotiations on a new trade deal fail. But a question looms over that effort. "If it comes to it, will they?" asked Frances Burwell, a fellow at the Atlantic Council's Europe Center, a research organization. Officials from the 27-nation bloc have spent months preparing their plans to hit back, only to hold off in favor of more talks. In April, EU policymakers approved a plan to impose tariffs on 21 billion euros (nearly $25 billion) of American goods. But they abruptly suspended them in a show of goodwill when Trump pivoted at the last minute and paused some painful across-the-board tariffs. The goal was to negotiate. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Buy Lifetime Office 365 Download Undo No deal was forthcoming. Instead, Trump said on social media last week that he planned to impose 30% tariffs on the bloc starting Aug. 1. After that announcement, EU officials chose to again delay that first batch of retaliatory tariffs -- which had been suspended only through July 14 -- to allow room for more talks. But they have also redoubled their vow to respond forcefully if necessary. Live Events Now, EU trade officials are finishing up a second list of tariffs that would target an even longer list of American goods, one that amounts to 72 billion euros ($84 billion) of products that include Boeing airplanes and Kentucky bourbon. The list was sent to member states Monday, said diplomats who spoke on the condition of anonymity to discuss an internal process. National representatives have not yet voted on the list. That push to prepare a retaliation plan is rooted in an uncomfortable reality. The EU would prefer to come up with a negotiated solution and avoid a painful and protracted trade war, but the talks could still fail. Strength, many politicians and ministers pointed out, seems to be the only negotiating language that Trump understands. It is necessary to "flash some muscles," Lars Lokke Rasmussen, the Danish foreign minister, said Monday. "If you want peace, you have to prepare for war, and I think that's where we are." But Europe is still trying to make a deal. Maros Sefcovic, the EU trade commissioner, talked to Howard Lutnick, the commerce secretary, on Monday. He was expected to speak with Jamieson Greer, the U.S. trade representative, on Tuesday. Trade experts who specialize in detailed negotiations were headed to Washington, Olof Gill, a European Commission spokesperson, said in a news conference. But Sefcovic has said that European ministers have become more adamant about striking back if a negotiated solution could not be reached. He had already spent months trying to reach a broad-brush agreement. Sefcovic and other negotiators thought that they were closing in on one up until last week -- only to have the situation blow up after Trump issued his threat last week to impose 30% tariffs. "We have to protect the jobs, you have to protect the businesses," Sefcovic said at a news conference in Brussels on Monday. Yet actually following through with the plan to hit back would be no easy choice. Placing tariffs on American soybeans, handbags, machinery and other goods would make those products more expensive for consumers and businesses in France, Germany, Italy and other EU member states. Given that, discussions over what products Brussels should target have been intense. The tariffs that were prepared and nearly put into effect in April could be rolled out very quickly, because they were finalized and no longer up for debate. But they were always envisaged as only a first step: 21 billion euros' worth of goods is not a lot in the context of a 1.6 trillion euro trans-Atlantic trading relationship. "We will continue to prepare further countermeasures so we are fully prepared," Ursula von der Leyen, the president of the European Commission, said Sunday. EU member states would still need to vote to approve the second set of proposed tariffs that would apply to 72 billion euros worth of goods. The list initially covered 95 billion euros of products, but it was whittled down after feedback and lobbying. After that, officials could consider using a new tool, the so-called anticoercion instrument, to target big technology firms or other American service companies by imposing trade or investment restrictions on them. Such a move could hit American businesses in the pocketbook, but because it would be so painful and risk escalating the trade war, it is sometimes referred to as the "nuclear option" in Brussels. "We are not there yet," von der Leyen said Sunday, when asked about using the tool. "This is very important. This is now the time for negotiations." Europe is still trying to speak gently while reminding the world that it carries several big sticks. It would prefer not to use them. Officials are hoping that a negotiated deal can be reached in the coming weeks and that the threatened 30% tariffs never come into effect. Tariffs hurt consumers on both sides of the Atlantic, they argue. By that logic, they say, delaying retaliation is a sign of rationality, not of timidity. "I don't think this is weakness," Lokke Rasmussen said. "It's a clear signal that we don't want to escalate things." Trying to shore up goodwill and hoping for the best has not been a winning strategy to date. But "the pain threshold is quite high" for Europe to decide to retaliate, said Mujtaba Rahman, managing director for Europe at the Eurasia Group, a political risk consultancy. Rahman added that things would have to go very badly -- an across-the-board tariff rate of perhaps 15%, along with charges on sectors -- for Europe to hit back. Officials will want to avoid angering the Trump administration, especially at a time when the bloc depends heavily on the United States to help with the war in Ukraine. "The Americans will really need to go mad if the Europeans are going to retaliate," he said. But if Trump follows through with his latest threat, that would firmly push the bloc over the edge, predicted Ignacio García Bercero, a former EU trade official who is now at Bruegel, an economic think tank. "A 30% tariff would be no choice but to retaliate," he said.
Time of India
36 minutes ago
- Time of India
Malaysia controls AI chip exports as US targets China smuggling
Malaysia will now require permits for exports of high-performance US artificial intelligence chips, suggesting the government is seeking to clamp down on potential diversion of the sensitive components to places like China. Effective immediately, individuals and companies must notify Kuala Lumpur at least 30 days prior to exporting or shipping such hardware, Malaysia's trade and industry ministry said Monday. They must inform the agency if they know or 'have reasonable grounds' to suspect the items will be misused or used for restricted activities. Malaysia 'will not tolerate the misuse of Malaysia's jurisdiction for illicit trading activities,' the ministry said. Kuala Lumpur has come under increasing pressure from Washington — which has effectively banned the sale of advanced AI chips to China since 2022 — to halt the suspected flow of those parts to China via intermediaries in Malaysia. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like An engineer reveals: One simple trick to get internet without a subscription Techno Mag Learn More Undo Malaysian authorities said in March that they would tighten regulations on the country's burgeoning data center industry, which relies on chips from the likes of Nvidia Corp. The new permit requirements aim to 'close regulatory gaps,' according to the ministry's statement, while Malaysia 'undertakes further review' of the potential inclusion of AI chips to a national list of items covered by the Strategic Trade Act. The ministry did not immediately respond to questions about whether the controls came at Washington's urging. Live Events Bloomberg Malaysian authorities said in March that they would tighten regulations on the country's burgeoning data center industry, which relies on chips from the likes of Nvidia Corp. Semiconductor sales to Malaysia also are a focal point of a court case in neighboring Singapore, where prosecutors charged three men with defrauding customers about the ultimate destination of AI servers — originally shipped from the island nation to Malaysia — that may have contained advanced Nvidia chips. Malaysia said in March that its investigation into the matter hadn't uncovered evidence of such shipments, and that the country will continue to monitor for possible fraud. Nvidia has not been accused of any wrongdoing in Singapore's investigation. Malaysia is a key part of the AI supply chain, home to many facilities used for developing and deploying AI models. American companies including Oracle Corp. are massively expanding their data center footprints in the country, which saw an increase in imports of crucial components this year — particularly in April, the month before the US was expected to start requiring licenses to ship AI chips to Malaysia and many other countries. President Donald Trump's administration decided not to move forward with that policy in May, though officials have since drafted a separate regulation that would mandate such approvals for AI chip shipments to Malaysia and Thailand in particular — an effort that seeks to crack down on suspected semiconductor smuggling into China, Bloomberg has reported. That rule is not yet finalized and could still change. Nvidia Chief Executive Officer Jensen Huang has said there's 'no evidence' of AI chip diversion, in general remarks that didn't touch on any particular country. In response to earlier Bloomberg queries about the potential US curbs, Malaysia's trade ministry said that it welcomes dialogue with the US and other nations to 'clarify any misunderstandings,' while also warning that unilateral restrictions could disrupt legitimate trade and hamper ministry — which, like many others in Asia, is currently hammering out a trade deal with US officials — added that 'all matters related to Malaysia-US bilateral trade are interlinked, each having its own unique role in the current trade negotiations.'
