Stocks, bonds and precious metals slid on Monday as investors, spooked by the impact of surging oil prices on global inflation and economic growth, turned risk-averse and cashed in on some of their most profitable trades
The local currency has moved in a narrow range throughout the week
RBI action was likely seen to prevent the rupee from falling beyond Rs 91 per dollar
Traders expect the rupee to continue to move in a range-bound manner
The US Supreme Court ruling on tariffs and the subsequent decision by President Donald Trump offer little clarity on way forward for trade deal with India
The currency rose after the US Supreme Court struck down tariffs imposed by President Donald Trump, who subsequently slapped a 15% tariff on all trading partners
US Treasury yields climbed after the ruling as traders focused on the revenue from the levies, which has improved the US fiscal position.
Strong dollar and geopolitical tensions pull rupee down to near Rs 91 levels
The local currency has been held back due to a combination of factors such as global macroeconomic uncertainty and lack of FPI/FII inflows.
The rupee has remained range-bound in recent sessions on likely intervention by the RBI to curb volatility
However, exchange-rate weakness alone does not determine reserve status; institutional depth, capital mobility and geopolitical alignment matter more
The currency fell marginally on February 17 as a lack of clear direction in the market kept traders cautious
The rupee was trading at 90.65 to the dollar after ending the previous session at 90.60
At the heart of the offer is Russia’s return to the dollar settlement system, a move which would mean a stunning reversal of Kremlin policy and, potentially, a dramatic shake up for global finance.
Traders expect the rupee to trade between 90.40 and 90.95 in the near term
The dollar softened after US retail sales data pointed towards a cooling economy, giving room for the Federal Reserve to cut rates
Japan's yen has pulled back from critical levels after intervention warnings, but analysts warn the relief may be temporary as underlying pressures persist.
Friday’s rate-checking of the dollar-yen rate by Fed officials “drove down the US dollar further,” George Catrambone, head of fixed income at DWS Americas, told Bloomberg Radio
A chart chart highlights a drop in the dollar’s value over the past week, sparking concerns about its impact on the US economy and everyday Americans.
Strategists expect the greenback to weaken again in 2026 as the US central bank continues to ease monetary policy just as others hold steady or move closer toward raising rates.
The US shutdown may have given the dollar a break from volatility but its effect on the economy could hurt the greenback.
The US nonfarm payrolls report for September was due for release on Friday, but was not published due to the government closure
Greenback is weighed down by expectations of lower rates and threats to central bank independence
Piyush Goyal on Thursday said the government expects tax revenues to rise, not fall, following the rationalisation of GST rates, as higher demand will offset any rate cuts.
Spot gold was steady at $3,476.48 per ounce as of 0947 GMT, after hitting a record high of $3,508.50 earlier in the session. Bullion has gained 32% so far this year