Rupee Opens Stronger Against US Dollar After Trump's Inauguration Speech
The domestic currency strengthened by 28 paise to open at 86.29 against the dollar, according to Bloomberg data.
The Indian Rupee opened stronger against the US Dollar on Tuesday, tracking an over 1% fall in the dollar index after Trump's inauguration speech had lesser tariff announcements.
The domestic currency strengthened by 28 paise to open at 86.29 against the dollar, according to Bloomberg data. It had settled at Rs 86.57 a dollar on Monday.
The dollar index, which measures the strength of the greenback against the six major currencies, was down 1.04% at 108.21, according to Bloomberg .
While February futures contract of WTI Crude traded 1.5% down at $76.74 a barrel, March futures contract of brent crude was flat at $80.20 a barrel.
Anil Kumar Bhansali, head of treasury and executive director at Finrex Treasury Advisors LLP, said, exporters may continue to wait with a stop loss at 86.25 since the rupee remains in a weakening mode due to $ demand.
According to Kunal Sodhani, forex and rates treasury at Shinhan Bank, early signals from the incoming US administration suggest a methodical approach to tariffs and fiscal expansion. "Trump declares a national emergency on energy and immigration, aiming to reshape US policies," he said. "DXY cools off sharply. For USDINR, 86.15/20 acts as a support while 86.55 a resistance."
