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Rupee depreciates against dollar on Thursday amid geopolitical tensions
May-08-2025

Indian rupee depreciated against the U.S. dollar on Thursday weighed down by heightened geopolitical tensions between India and Pakistan. Investors were cautious as S&P Global Ratings has said that the hostilities between India and Pakistan heighten risks to the credit metrics of both countries, and any escalation in clashes would put downward pressure on sovereign credit support. Traders ignored National Stock Exchange data showing that foreign portfolio investors stayed net buyers of Indian equities for the 15th straight session on Wednesday, as they bought stocks worth Rs 2,585.86 crore. On the global front, U.S. dollar strengthened against other major currencies in the European session on Thursday, after U.S. President Donald Trump said he would announce ‘a major trade deal with representatives of a big, and highly respected, country,’ without giving further details.

Finally, the rupee ended at 85.58 (Provisional), depreciated by 81 paise from its previous close of 84.77 on Wednesday. The currency touched a high and low of 85.77 and 84.52 respectively.

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