Rupee Set to Rebound as Trump Delays Tariffs on Canada, Mexico

The Indian rupee is poised to recover on Tuesday after hitting an all-time low of 87.28 against the US dollar on Monday. The rebound comes as President Trump postponed tariffs on Canada and Mexico for 30 days, easing global trade tensions. The rupee is expected to open around 86.96-86.98 per dollar, up from 87.1850 in the previous session. However, focus remains on potential tariffs against China, set to take effect on Tuesday. Analysts warn that tariffs may remain a key instrument in Trump's trade policy, maintaining uncertainty in currency markets.

Source: Reuters, February 4, 2025