The Indian Rupee weakened by 15 paise to open at Rs 85.85 against the greenback, according to Bloomberg. It had closed at Rs 85.70 on Tuesday.
This comes after Trump announced that Wednesday morning will bring announcements for seven countries having to deal with trade tariffs. US and Japan have failed to announce a deal despite multiple rounds of meetings. Meanwhile an India and US deal which was to be announced overnight is still not on the boards, though Trump said it is almost finalised and would be announced soon.
“The rupee gained on expectations of an announcement of the US-India mini trade deal but none came through overnight. According the opening, this morning is at 85.73 within a range of 85.50 to 86.00, with rupee in a consolidation mode,” according to Anil Kumar Bhansali, head of treasury and executive director of Finrex Treasury Advisors LLP.
He also recommends that the Dollar can be sold off near 86.00 levels, while it can be bought at below 85.50 levels if the India-US deal is finalised.
