Mumbai: The rupee pared its initial losses and settled for the day higher by 22 paise at 85.30 against the US dollar on Thursday as the greenback weakened against its major peers after President Donald Trump unleashed reciprocal tariffs on about 60 countries.
The domestic unit had witnessed a knee jerk reaction in early trade but soon gained the lost ground and ended the day on a positive note, after the US announced 27 per cent reciprocal tariffs on India, saying New Delhi imposes high import duties on American goods.
Experts, however, said that India is better-placed than its competitors, who also face increased levies.
At the interbank foreign exchange, the rupee opened at 85.77 then touched an intraday high of 85.30 and a low of 85.78 against the greenback.
The unit ended the session at 85.30 against the dollar, registering a gain of 22 paisa from its previous closing level.
On Wednesday, the rupee had settled at 85.52 against the US dollar.
Meanwhile, the dollar index, which gauges the greenback’s strength against a basket of six currencies, was trading 1.65 per cent lower at 102.09.
Brent crude, the global oil benchmark, fell 4.10 per cent to $71.88 per barrel in futures trade. FIIs offloaded equities worth Rs 1,538.88 crore on a net basis on Wednesday, according to exchange data.