Last Updated:
At the interbank foreign exchange, the rupee opens at 87.69 against a US dollar, up 3 paise from its previous close of 87.72.
Rupee Vs Dollar Today.
A day after US President Donald Trump sharply raised tariffs on Indian exports, the Indian rupee on Thursday opened marginally stronger against the US dollar. At the interbank foreign exchange, the domestic unit opened at 87.69 against a US dollar, up 3 paise from its previous close of 87.72.
The modest appreciation came despite a significant development on the trade front. On Wednesday, Trump announced an additional 25 per cent tariff on Indian goods, raising the total tariff to 50 per cent. The move, which the Trump administration described as a “penalty”, comes in response to India continuing its imports of Russian crude oil.
Trump also warned other nations importing Russian oil that they could face similar punitive measures.
“The Indian rupee opened a tad higher at 87.70 after market found Trump raised the tariffs by just 25 bps on buying Russian oil while market expected a higher raise. Still any rise will surely affect the Indian exports to the US though the 25% hike will be effective only from August 28, before which the US delegation is expected to visit India to negotiate on tariffs,” Anil Kumar Bhansali, head of treasury and executive director of Finrex Treasury Advisors LLP.
Brent oil prices jumped higher to $67.52 per barrel after Trump hiked India Tariff’s by 25% betting on tighter supplies. Crude prices also benefitted from some bargain buying after declining to a 2-month low on Wednesday, amid persistent concerns over higher OPEC+ production and worsening demand across the globe, he added.
India responded sharply to the US move. In a statement, the Ministry of External Affairs (MEA) called the decision “unfair, unjustified, and unreasonable.”
“We have already made clear our position on these issues, including the fact that our imports are based on market factors and done with the objective of ensuring the energy security of 1.4 billion people,” the MEA said.
“It is therefore extremely unfortunate the US should choose to impose additional tariffs on India… for actions that several other countries are also taking in their own national interest,” the ministry added.
The development has sparked fresh concerns about geopolitical tensions spilling into trade relations, even as India maintains that its energy purchases are in line with its sovereign interests and global market dynamics.
Haris is Deputy News Editor (Business) at news18.com. He writes on various issues related to personal finance, markets, economy and companies. Having over a decade of experience in financial journalism, Haris h…Read More
Haris is Deputy News Editor (Business) at news18.com. He writes on various issues related to personal finance, markets, economy and companies. Having over a decade of experience in financial journalism, Haris h… Read More
view comments
Read More
