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Rising for the second straight session, the rupee jumped 35 paise to close at 85.10 (provisional) against the US dollar on Monday, buoyed by a positive trend in domestic equity markets and a weak American currency overseas.According to forex traders, the inflow of foreign funds and the RBI’s announcement of giving a record dividend of ₹2.69 lakh crore to the government for FY25 added strength to the local currency even as a slight recovery in crude oil prices capped its gain.At the interbank foreign exchange market, the rupee opened at 85.02 and moved between the intra-day high of 84.78 and…

The Indian rupee closed modestly stronger after hitting a two-week high on Monday as a turnaround in the dollar index weighed on regional peers like the Chinese yuan, which touched a seven-month peak earlier in the day. The rupee closed at 85.0.850 against the U.S. dollar, up 0.1% from its close at 85.2125 in the previous session. The currency had risen to 84.79 before trimming gains, as the dollar edged higher against major peers and importer demand emerged above the 85 level, traders said.The dollar index was little changed at 99 after hitting an over month-low of 98.6 in early…

The Pound Sterling refreshes a three-year high near 1.3600 against the US Dollar due to US President Trump’s ever-changing tariff announcements on the EU. Trump threatens to impose 25% duties on Apple for not manufacturing in the US.Traders see the BoE reducing interest rates just once in the remainder of the year.The Pound Sterling (GBP) posts a fresh three-year high near 1.3600 against the US Dollar (USD) at the start of the week, amid holidays in the United Kingdom (UK) and the United States (US) markets on account of the Spring Bank Holiday and Memorial Day, respectively. The GBP/USD pair, trading…

The rupee appreciated sharply by 40 paise to 85.05 against the US dollar in early trade on Monday on the back of a weak American currency index and positive domestic equity markets. Inflow of foreign funds and the RBI’s announcement of giving a record dividend to the government for FY25 also added strength to the local currency, forex traders said. Besides, market participants will await the release of industrial and manufacturing production data for April as well as the Q1 GDP growth numbers, scheduled this week, that are likely to offer deeper insights into the country’s economic activity, according to…

JP Morgan report predicts soft USD benefiting EM assets, with potential for EM currencies to outperform dollar. | Photo Credit: iStockphoto The US dollar will remain soft this year, which is likely to benefit Emerging Market (EM) assets, according to a research report by American investment banking firm JP Morgan. “USD could stay soft this year, which would help EM assets. EM historically traded inversely to the dollar, and the big question is whether the last 15 years’ downtrend in EM and the strong USD could be ending,” says the report.EM assets involve putting money into countries with developing economies.…

The Australian Dollar strengthens as the US Dollar attracts sellers due to rising US economic concerns.However, the AUD may lose its ground as the RBA could deliver further rate cuts.The US fiscal deficit could increase if Trump’s “One Big Beautiful Bill” passes the Senate.The Australian Dollar (AUD) continues to gain ground against the US Dollar (USD) on Monday, marking fresh six-month highs. The AUD/USD pair receives support as the US Dollar remains under downward pressure amid rising uncertainty surrounding the United States (US) economy.The AUD’s upside could be restrained due to dovish sentiment surrounding the Reserve Bank of Australia’s (RBA)…

Iranian Foreign Minister Abbas Araghchi said on Friday that discussions with the United States (US) over its nuclear program were complicated as the fifth round of talks concluded in Rome.Araghchi further stated that the negotiations are too complicated to be resolved in two or three meetings, and there was potential for progress in nuclear negotiations after Oman made several proposals.Meanwhile, US President Donald Trump said American negotiators made “real progress” during “very good” nuclear talks with Iran over the weekend.Market reactionAt the time of writing, the Gold price (XAU/USD) is trading 0.35% lower on the day to trade at $3,345. Risk…

Asian currencies are likely to appreciate against the US dollar in the long term, according to a recent report by Jefferies.The report highlighted that the gross national savings in emerging Asian countries are significantly higher than those in developed G7 nations, giving Asian economies a strong foundation for currency strength.It said, “The most likely currency bloc to enjoy long-term appreciation against the US dollar remains Asian currencies in what amounts to a reversal of the dynamic triggered by the Asian Crisis nearly 30 years ago.”The report noted that this trend marks a reversal of the currency dynamic that was triggered…

XAU/USD rallies as Trump warns of 50% tariffs on EU imports, escalating trade war and boosting safe-haven demand.The US House passes a $4 trillion debt-heavy budget, with the Senate vote and inflation data in focus.Talks on Ukraine and Iran ease geopolitical stress, but markets remain risk-averse.Gold’s price uptrend resumed on Friday, with the yellow metal rising close to 2% daily and 5% in the week, as the US Dollar (USD) weakened further after US President Donald Trump escalated the ‘trade war’ with the European Union (EU). This and investors’ woes regarding the US fiscal stance propel bullion prices higher, with…

The Franc surges nearly 1% as Trump’s tariff threats trigger risk aversion and deepen the US Dollar’s slide.USD/CHF breaks below 0.8250, nearing key support at May’s low of 0.8184.Bearish flag breakdown points to a possible test of the 2025 low at 0.8038.Traders pile into Swiss Franc as US protectionism and fiscal risks spook markets.USD/CHF continues to weaken as the downtrend extends past 0.8250, as the pair loses almost 1%. Investors seeking safety bought the Swiss Franc (CHF) after US President Donald Trump threatened to enact tariffs of 50% on the European Union (EU) and 25% on Apple’s iPhone manufactured overseas.…