The Indian rupee gained in the non-deliverable forward (NDF) market, strengthening to near ₹91 per U.S. dollar compared to its previous close of 91.5125. The rally followed President Donald Trump’s announcement of a new U.S.–India trade deal, boosting investor confidence and signaling potential inflows into India’s economy.
The Indian rupee showed signs of strength in the offshore non-deliverable forward (NDF) market, trading close to ₹91 per U.S. dollar ahead of onshore market opening. This marks an appreciation from the previous close of 91.5125, reflecting renewed optimism after the announcement of a landmark U.S.–India trade deal.
President Donald Trump revealed that India has committed to expanding imports of U.S. goods worth over $500 billion, alongside tariff reductions and energy diversification. The news has bolstered sentiment in currency markets, with traders anticipating stronger capital inflows and improved bilateral trade dynamics.
Analysts suggest that the rupee’s movement in the NDF market is an early indicator of how onshore trading may react, with expectations of continued strength if global cues remain supportive. The deal is seen as a catalyst for India’s external sector, potentially easing pressure on the current account and stabilizing foreign exchange reserves.
Key Highlights
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Currency Movement: Rupee strengthens to near ₹91/USD in NDF market.
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Previous Close: 91.5125, marking a notable appreciation.
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Trigger Event: Rally follows announcement of U.S.–India trade deal.
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Investor Sentiment: Optimism over capital inflows and trade expansion.
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Market Outlook: Onshore rupee expected to open stronger; volatility possible.
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Strategic Impact: Deal may ease current account pressures and support forex reserves.
Sources: Economic Times – Rupee Market Update; Business Standard – India–U.S. Trade Deal Impact; Moneycontrol – Currency and Forex Developments