Rupee rises 8 paise to close at ₹88.08 against US dollar

The rupee appreciated 8 paise to close at ₹88.08 (provisional) against the US dollar on Tuesday, tracking US-India talks on the proposed trade agreement to iron out issues in the wake of steep Trump Tariffs.

Forex traders said the rupee strengthened on positive domestic markets and a weak greenback, which is trading at a two-month low ahead of the two-day FOMC meeting commencing Tuesday and disappointing US economic data.

At the interbank foreign exchange, the rupee opened at ₹88.05, then touched an intraday low of ₹88.16 and a high of ₹88.01 against the greenback. The domestic unit closed at ₹88.08 (provisional), a gain of 8 paise over its previous close.

On Monday, the rupee settled 10 paise higher at ₹88.16 against the US dollar.

Meanwhile, the dollar index, which gauges the greenback's strength against a basket of six currencies, fell 0.26% to 97.04.

Brent crude, the global oil benchmark, was trading 0.28% lower at USD 67.25 per barrel in futures trade. On the domestic equity market front, the Sensex jumped 594.95 points to settle at 82,380.69, while the Nifty surged 169.90 points to 25,239.10.

Foreign Institutional Investors offloaded equities worth ₹1,268.59 crore on a net basis on Monday, according to exchange data.

Meanwhile, the Chief negotiators of India and the US have commenced talks on the proposed trade agreement to iron out issues in the wake of steep tariffs that have created uncertainties for exporters. Brendan Lynch, the Assistant US Trade Representative for South and Central Asia, is leading the American team, while Rajesh Agrawal, Special Secretary in the Department of Commerce, is India's chief negotiator.