Indian rupee opens higher at 68.88 per dollar

The Indian rupee opened higher by 7 paise at 68.88 per dollar on Friday versus previous close 68.95.

Rupee closed at record lows in yesterday’s trading session as traders turn cautious of China and US tariff implementation and is expected to open flat against the dollar amid weakness before US tariffs on China take effect and decline in crude oil prices, said Motilal Oswal.

The Trump administration has imposed tariffs on a range of imported goods, including steel and aluminum, to protect domestic industries from what it says is unfair competition from foreign manufacturers. The 25% duty will apply to USD 34 billion worth of Chinese goods, ranging from aircraft to chicken incubators.

The FOMC minutes stated that further gradual increases in the target range for the federal funds rate will be consistent with sustained expansion of economic activity, strong labour market conditions, and inflation near the Committee's symmetric 2% objective over the medium term.

Today, USD-INR pair is expected to trade sideways within narrow range of 68.55-69.20.