Rupee declines 10 paise to settle at 85.48 against US dollar
Mumbai, The rupee declined 10 paise to close at 85.48 against the US dollar on Thursday due to a strong American currency against major crosses overseas and rising global crude oil prices.
However, positive domestic equity market and foreign fund inflows supported the local currency and restricted its slide, forex traders said.
At the interbank foreign exchange, the domestic unit opened at 85.56 and touched the intra-day low of 85.62 against the greenback. The unit hit the day's high of 85.40 before ending the session at 85.48 against the dollar, 12 paise lower from its previous close.
The rupee ended Wednesday's session two paise higher at 85.38 against the dollar.
Anuj Choudhary, Research Analyst at Mirae Asset Sharekhan, said a surge in the US dollar index and crude oil prices weighed on the rupee.
"Month-end dollar demand and FII outflows may also pressurise the rupee. USD-INR spot price is expected to trade in a range of ₹ 85.15 to ₹ 85.80," he said.
Meanwhile, the dollar index, which gauges the greenback's strength against a basket of six currencies, was trading higher by 0.11 per cent at 99.89.
Analysts said the American currency index gained after a US federal court blocked President Donald Trump's sweeping reciprocal tariff order, fuelling hope of easing global trade uncertainties.
Brent crude, the global oil benchmark, climbed 1.25 per cent to USD 65.71 per barrel in futures trade.
In the domestic equity market, the 30-share BSE Sensex rose 320.70 points, or 0.39 per cent, to close at 81,633.02, while the Nifty went up 81.15 points, or 0.33 per cent, to 24,833.60.
Foreign institutional investors purchased equities worth ₹ 4,662.92 crore on a net basis on Wednesday, according to exchange data.
The Reserve Bank, in its latest annual report on Thursday, said the country is poised to remain the fastest-growing major economy in the world even in FY26.
According to official data released on Wednesday, India's industrial production growth slowed to 2.7 per cent in April 2025 due to poor performance of manufacturing, mining and power sectors.
This article was generated from an automated news agency feed without modifications to text.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Time of India
24 minutes ago
- Time of India
Donald Trump Does it AGAIN! Claims Credit for India-Pak Peace, Averted Nuclear War with Trade Offer
Donald Trump Does it AGAIN! Claims Credit for India-Pak Peace, Averted Nuclear War with Trade Offer Source: In a joint media appearance with Elon Musk at the Oval Office, former US President Donald Trump claimed the U.S. defused tensions between India and Pakistan, potentially preventing a nuclear disaster. While praising the cooperation from both nations, Trump also tied it to U.S. trade interests, saying 'We can't trade with people who are shooting at each other.' However, India has firmly rejected any claims of U.S. mediation, asserting that the ceasefire was a direct bilateral decision through DGMO-level talks and had nothing to do with trade or any third-party intervention. This comes as India steps up its global outreach post Operation Sindoor, with Shashi Tharoor clarifying in Colombia that India's anti-terror stance and military actions are based purely on national interest—not foreign mediation.#donaldtrump #indiarejectsmediation #operationsindoor #trumpmusktalks #indiapakceasefire #india #pakistan #thirdpartyrole #shashitharoor #modidoctrine #nuclearconflict #usindiarelations #toibharat
Time of India
29 minutes ago
- Time of India
Volkswagen flags 'massive' US investments and says tariff talks constructive
Volkswagen wants to make more big investments in the United States, CEO Oliver Blume said in an interview with a German newspaper on Friday, adding that tariff talks with the U.S. government were "fair" and "constructive". Several foreign companies have announced U.S. investments in response to President Donald Trump's import tariffs, but German carmakers have been more cautious about committing more resources to what is their biggest export market. Volkswagen's Audi brand, which has no production in the United States, is planning to produce some models in there, although the brand has said that the plan pre-dates the Trump administration. "So far, we have had absolutely fair, constructive discussions," Blume told Sueddeutsche Zeitung. "I was in Washington myself and we have been in regular dialogue ever since." Blume, who also leads Porsche AG as CEO, said Volkswagen's main contact in Washington was U.S. Commerce Secretary Howard Lutnick, adding he had agreed to keep any details of the discussions confidential. Sources told Reuters earlier this week that German carmakers including Volkswagen were in talks with Washington over a possible import tariff deal, seeking to use their U.S. investments and exports as leverage to soften any blow. Trump's trade war has cost companies more than $34 billion in lost sales and higher costs, according to a Reuters analysis of corporate disclosures, with companies pursuing various strategies to cope. Most of the tariffs were blocked by a U.S. trade court this week, but a federal appeals court has temporarily reinstated them to consider the Trump administration's appeal against the trade court's ruling. The 25% tariff imposed on auto imports earlier this year has not been affected by the rulings. Uncertainty worse than tariffs In a recent survey by Germany's Machinery and Equipment Manufacturers Association (VDMA), nearly three quarters of participants said uncertainty over U.S. trade policy had a strong impact on companies' competitiveness, while just 43% said the same for the 10% tariffs slapped on goods from most U.S. trading partners. "The uncertainty surrounding the U.S. tariffs is causing more problems in our sector than the tariffs themselves," Andrew Adair, VDMA's trade policy adviser for North America, told Reuters. "Uncertainty causes customers to delay purchasing decisions-including American companies that are motivated to purchase machinery to ramp up their local production." Asked what Blume was offering in the talks, which aim to reduce the 25% autos levy, he said: "The Volkswagen Group wants to invest further in the USA. We have a growth strategy." Blume said the Volkswagen Group already employed over 20,000 people directly and over 55,000 people indirectly in the United States, and highlighted a $5.8 billion investment in U.S. company Rivian. "We would build on this with further, massive investments," Blume said. Such investments should be factored into any decisions regarding tariffs, added Blume, who said he hoped Brussels and Washington would reach a broad deal for all industries. Blume declined to say when a deal with Washington could be struck, when asked about BMW CEO Oliver Zipse's assessment that tariffs would likely fall from July.
&w=3840&q=100)
Business Standard
30 minutes ago
- Business Standard
Doubling tariff on steel, aluminium by US to impact Indian exporters: GTRI
US President Donald Trump's announcement to double tariffs on imported steel and aluminium will impact Indian exporters, as it would hurt their profitability, think tank GTRI said on Saturday. On May 30, Trump announced that he would double the existing 25 per cent tariffs on steel and aluminium imports from June 4. This hike comes under Section 232 of the US Trade Expansion Act of 1962, a law that allows the president to impose tariffs or other trade restrictions if imports are deemed a threat to national security. Trump originally invoked this provision in 2018 to set the 25 per cent tariff on steel and 10 per cent on aluminium. He raised tariffs on aluminium to 25 per cent in February 2025. For India, the consequences are direct, the Global Trade Research Initiative (GTRI) said. In 2024-25, India exported USD 4.56 billion worth of iron, steel, and aluminium products to the US, with key categories, including USD 587.5 million in iron and steel, USD 3.1 billion in articles of iron or steel, and USD 860 million in aluminium and related articles. "These exports are now exposed to sharply higher US tariffs, threatening the profitability of Indian producers and exporters," GTRI founder Ajay Srivastava said. India has already issued a formal notice at the World Trade Organization (WTO) signalling its intention to impose retaliatory tariffs on US goods in response to the earlier steel tariffs. "With Trump now doubling the tariffs, it remains to be seen whether India will carry out the retaliation by increasing tariffs on certain US exports within a month," he said.
