&w=3840&q=100)
Rupee falls on tariff jitters, uptick in oil prices; ends lower at 85.71/$
The domestic currency closed 18 paise lower at 85.71 against the dollar, according to Bloomberg. Most Asian currencies declined on Wednesday amid Trump's comments on extending the tariff deadline.
The unit has depreciated by around 0.21 per cent in June and has fallen by 0.18 per cent in the first six months of the calendar year.
Rupee traded weak as the Dollar Index showed strength near 96.50 and crude oil found some basing support, adding pressure on the rupee, according to Jateen Trivedi, VP research analyst - commodity and currency at LKP Securities. "Additionally, weakness in domestic capital markets contributed to the currency's softness."
Trump said he is not considering delaying his July 9 deadline for higher tariffs to resume. He also added that the US and India will soon finalise a trade deal with 'much lower tariffs,' which would enable fairer competition between the two countries.
With no clear directional cues, the rupee is expected to remain range-bound between 85.35 and 85.95, according to Anil Kumar Bhansali, head of treasury and executive director at Finrex Treasury Advisors LLP. The Reserve Bank of India's (RBI's) outstanding net short dollar position in the forward market fell further to $45 billion by the end of May, against $52 billion at the end of April, according to the central bank's latest data.
The dollar index traded marginally higher as Trump escalated trade tensions. The measure of the greenback against a basket of six major currencies was up 0.14 per cent at 96.95. The index has fallen 10.74 per cent so far this year.
In commodities, crude oil prices were trading higher ahead of the Opec+ meeting to determine the August output levels. Brent crude price was up 0.89 per cent at $67.71 per barrel, while WTI crude prices were higher by 0.89 per cent at 66.03, as of 3:35 PM IST.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
India.com
39 minutes ago
- India.com
Explained: What Is Inside Trump's ‘Big Beautiful Bill' And Why It Is Sparking So Much Heat
New Delhi: U.S. President Donald Trump calls it his 'Big Beautiful Bill'. Behind the grand name lies a controversial piece of legislation. It mixes tax cuts, deep spending shifts, new defense boosts and changes to healthcare and social aid. The Senate passed it after a marathon session. Now, it heads to the House, where the debate could get even more intense. Here's a breakdown of what the bill actually does and why it is causing so much uproar. At the centre of the bill lies Trump's push to extend the 2017 tax cuts. Those cuts were due to expire in 2025. This bill makes most of them permanent. High earners stand to benefit the most. Wealthier families would keep their deductions and lower tax rates. A few new benefits are added too such as deductions on tips, car loan interest (if the car is made in the US) and overtime pay. One major change – the state and local tax (SALT) deduction cap would rise from $10,000 to $40,000 but only for five years. Estimated cost of all tax breaks – $4.5 trillion over a decade. Without the bill, the current child tax credit – $2,000 per child – would fall to $1,000 by 2026. With the bill, the credit increases to $2,200 per child. It is not a dramatic jump, but a politically safe one. The bill pushes $350 billion toward national security and border enforcement. That includes $46 billion for Trump's Mexico border wall, $45 billion for migrant detention beds and billions more to hire 10,000 new ICE agents. This part of the bill closely mirrors Trump's immigration crackdown promises. To help fund tax breaks and defense spending, the bill slashes safety net programmes. That includes Medicaid and SNAP (food aid). Republicans say the goal is to 'refocus' these programmes on the most vulnerable – children, pregnant women and disabled citizens. But the Congressional Budget Office says around 11.8 million Americans could lose health coverage if the bill becomes law. The bill guts tax credits for solar, wind and electric vehicles. A tax break for electric car buyers would end this year, not 2032, as current law allows. This rollback hits the core of former President Joe Biden's climate policy, especially his Inflation Reduction Act. The U.S. debt already stands at $36.2 trillion. Trump's bill adds another $3.3 trillion over 10 years and raises the debt ceiling by $5 trillion – higher than what the House had approved earlier. According to Yale's Budget Lab, top earners gain 2.2% in income and lowest earners lose 2.5%, mainly from cuts to food and healthcare support. Wealthier Americans keep more money. Low-income families may face new struggles. Senate passed it with 51-50 votes. Every Democrat opposed the bill. Vice President JD Vance cast the deciding vote. Republican support was shaky but held after last-minute amendments. The bill now goes to the House. If the House changes anything, the Senate will have to vote again. Both chambers must agree on a final version before Trump can sign it into law. He is hoping to do that by July 4, but even he admitted, 'It is going to be hard.' Trump's 'Big Beautiful Bill' is huge in size and impact. It brings major tax relief to some, while pulling back on healthcare and aid for others. It fuels defense and border spending, but balloons national debt. And it could redefine America's budget if it survives the House.
Hindustan Times
2 hours ago
- Hindustan Times
Can Trump fire Jerome Powell? Here's when Fed chair's term ends
US President Donald Trump on Wednesday reiterated his call for Federal Reserve Chairman Jerome Powell to resign, saying the central bank leader should do so immediately. President Donald Trump has previously expressed frustration with Powell's rate hikes.(REUTERS) Powell, who was nominated by Trump to lead the Fed during his first administration, has been facing pressure from Trump to vacate his position following his reported disagreements with the President over the Fed's inflation policies Joe Biden, who succeeded Trump after the 2020 Presidential Election, nominated him for a second term. Trump has previously expressed frustration with Powell's rate hikes and has hinted at replacing him with someone more aligned with his economic outlook. Amid repeated calls by Donald Trump for Jerome Powell's resignation, the question arises whether the US President has the power to fire the Federal Reserve Chairman. Here's the answer. Can Trump fire the Federal Reserve Chairman? The question of whether a U.S. president can fire a Federal Reserve chair has resurfaced amid speculation about Donald Trump's potential efforts to challenge Jerome Powell's leadership. However, in one of his previous press conferences, Powell asserted that the law does not permit a president to dismiss a Fed chair without justification, emphasising his refusal to resign if pressured. Legal experts like Russel Morgan of The Morgan Legal Group note the ambiguity in statutes governing Fed leadership removal. Under the 1913 Federal Reserve Act, the central bank operates independently from political interference, with officials protected from dismissal over policy disagreements. A 1930s Supreme Court ruling adds that removing a Fed chair would require proof of 'inefficiency, neglect of duty, or malfeasance.' Morgan explained that any attempt to oust Powell would likely involve a lengthy process, including a Senate-led investigation to establish valid grounds, as per Barron's report.
India Today
3 hours ago
- India Today
Trump wins $16 million settlement over edited Kamala Harris interview on CBS
Paramount Global has agreed to pay $16 million to President Donald Trump to settle a lawsuit regarding a CBS News 60 Minutes interview with then-Vice President Kamala Harris that aired last alleged the segment was deceptively edited to make Harris appear more competent ahead of the presidential media giant announced on Tuesday that the settlement figure will go toward Trump's future presidential library. The pact does not involve any official apology or concession of wrongdoing on the part of Paramount or As part of the settlement terms, CBS's 60 Minutes will release full transcripts of all interviews conducted with presidential candidates moving CBS initially described the lawsuit which sought up to $20 billion in damages as baseless, Paramount chair Shari Redstone reportedly pushed for a resolution as the company seeks federal clearance for its multibillion-dollar merger with Skydance has not publicly commented on the settlement. However, his legal team called it a victory for holding the 'fake news media' reported by Forbes, Trump first filed the complaint in October 2024, claiming CBS had edited Harris's response to the Israel-Hamas conflict to unfairly benefit the Democratic said this constituted election interference by the media. Lawyers for CBS claimed the network's editorial decisions were covered under the First the court proceedings, Trump repeatedly attacked CBS on Truth Social, demanding that the network lose its broadcast license and calling on the FCC to extract maximum lawsuit created internal conflict at CBS. In April, 60 Minutes executive producer Bill Owens quit, stating there was editorial interference. Shortly thereafter, CBS News CEO Wendy McMahon resigned, stating that the company and she had different visions for the future.- Ends
