Rupee breaches 87 mark against US dollar on Monday
Indian rupee weakened and breached the 87 mark against the US dollar on Monday amid rising global trade tensions and surging American currency overseas after US President Donald Trump imposed fresh tariffs on Mexico, Canada, and China. A 25% levy on imports from Mexico and Canada, alongside a 10% tariff on Chinese goods, is set to take effect on February 4. Moreover, weak domestic equities and sustained foreign fund outflows have also dampened rupee sentiments. Foreign Institutional Investors offloaded equities worth Rs 1,327.09 crore in the capital markets on a net basis on Saturday, exchange data showed. However, forex market interventions by the Reserve Bank of India helped to reduce volatility in the rupee.
The partially convertible currency is currently trading at 87.12, weaker by 50 paise from its previous close of 86.62 on Friday. The currency touched a high and low of 87.29 and 87.00 respectively.
