Rupee inches up: Gains 1 paisa to reach 87.30 against USD in early trade
The rupee edged up 1 paisa to 87.30 against the US dollar in early trade Tuesday, supported by a weaker dollar and lower crude oil prices.
However, volatile domestic equity markets and fears of a US recession dampened investor sentiment. At the interbank forex market, the rupee opened at 87.37, briefly slipped to 87.39, and later settled at 87.30. On Monday, it had dropped 36 paise to close at 87.31.
Meanwhile, the dollar index fell 0.20% to 103.75, reflecting weakness against a basket of currencies. Brent crude in futures trade remained steady at $69.29 per barrel.
Domestic markets traded in the red. The BSE Sensex lost 424.36 points (0.57%) to 73,690.81, while the Nifty dropped 117.90 points (0.52%) to 22,342.40. Foreign institutional investors (FIIs) sold equities worth ₹485.41 crore on Monday.
Globally, US President Donald Trump dismissed recession fears despite concerns over his tariff policies. Meanwhile, China hit back with a 15% tariff on key American farm products, including chicken, pork, soybeans, and beef. This trade conflict triggered a sharp decline in US markets on Monday.
