Last Updated on June 16, 2026 7:05 pm by BIZNAMA NEWS
AMN
The Indian rupee witnessed tepid, range-bound movement on Tuesday, consolidating at 94.56 per US dollar after registering substantial gains in the previous session. While a softening greenback and a buoyant domestic equity market offered firm technical support, the currency’s upward momentum was capped by lingering concerns over India’s elevated external trade gap. Despite coming off its best level in five weeks, the rupee managed to hold its ground.
The primary headwind for the domestic currency stems from macro data released yesterday, which revealed that India’s merchandise trade deficit remains stubbornly high at $28.21 billion for May, virtually unchanged from the $28.23 billion recorded in April. This persistent deficit highlights that a broad-based surge in imports is currently outpaces a modest rebound in exports.
Providing a vital cushion against sharper depreciation, the US Dollar Index (DXY) edged down 0.16% to 99.30, stabilizing global sentiment for emerging market currencies and keeping the rupee’s near-term outlook steady.