Rupee falls 2 paise to close at 85.52 against U.S. dollar

Rupee closes 2 paise lower at 85.52 against USD amid trade tariff uncertainty, supported by domestic markets.

The rupee consolidated in a narrow range and settled for the day 2 paise lower at 85.52 (provisional) against the U.S. dollar on Wednesday (April 2, 2025), as the support from positive domestic markets was negated by uncertainty over trade tariffs.

Forex traders said the Indian rupee ended the first trading session of the fiscal year 2025-26 on a flat note over U.S. President Trump’s reciprocal tariffs concerns and foreign fund outflows. A surge in crude oil prices also put pressure on the rupee.

However, positive domestic markets and a weak tone in the U.S. dollar cushioned the downside, forex dealers said.

At the interbank foreign exchange, the rupee opened at 85.65 then touched an intra-day high of 85.50 and a low of 85.73 against the greenback. The unit ended the session at 85.52 (provisional) against the dollar, registering a loss of 2 paise from its previous closing level.

“We expect the rupee to trade with a positive bias on trade tariff uncertainty and worries over rising crude oil prices. However, foreign inflows and positive domestic markets may support rupee at lower levels,” said Anuj Choudhary, Research Analyst at Mirae Asset Sharekhan.

U.S. President Donald Trump has repeatedly criticised the high tariffs charged by India and other countries on American goods.

He plans to roll out a set of reciprocal tariffs on April 2, which he says will be “Liberation Day” for the US.