Indian rupee closes at 90.66 per US dollar
The rupee settled Monday at 90.66 per US dollar, dipping just 1 paisa after a rollercoaster day as traders assessed the details of the India-US interim trade framework and other market factors.
Brent crude was trading lower, and importers' dollar demand and other market forces influenced the rupee's movement.
A weaker rupee can increase the cost of imports
If you're keeping an eye on your expenses or planning to travel, a weaker rupee may increase the cost of some imports and fuel.
But for businesses selling goods abroad, this shift can affect competitiveness.
Forex reserves hit a record high
The back-and-forth came as importers scrambled for dollars—thanks to rising precious metal prices—while investors poured money into Indian stocks, sending Sensex and Nifty higher.
The new India-US pact is also big: it slashes US tariffs on Indian goods from 50% to 18%, and lowers India's duties on American products like sorghum and wine.
Plus, India's forex reserves just hit an all-time high of $723.774 billion.