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Indian rupee depreciates on Tuesday
Jun-03-2025

Indian rupee depreciated against the US dollar on Tuesday weighed down by a firm American currency and outflow of foreign funds. Some concern came as the Engineering Export Promotion Council of India (EEPC India) stated that US President Donald Trump’s proposed 50 per cent tariff on steel and aluminium imports could severely impact India’s engineering goods’ shipments. Traders overlooked G20 Sherpa Amitabh Kant’s statement that India's economy, which is currently $4 trillion in size, is expected to be close to $30 trillion by 2047 and the country also has the advantage of younger demographics. On the global front, Japanese yen strengthened against other major currencies in the European session on Tuesday, as European shares traded lower as trade tensions persisted, and investors looked ahead to the European Central Bank's policy meeting later in the week.

Finally, the rupee ended at 85.61 (Provisional), depreciated by 21 paise from its previous close of 85.40 on Monday. The currency touched a high and low of 85.63 and 85.44 respectively.

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