Tariff worries stall Indian rupee rally

MUMBAI: The rupee advanced on Tuesday, supported by weaker US jobs data that firmed up expectations of a Federal Reserve rate cut, before losing traction around the 88 per dollar level.

The rupee has been among the worst performing Asian currencies this year, pressured by the punitive US tariffs on Indian goods that have dented sentiment and fuelled sustained dollar demand.

The rupee rose 0.18 percent to 88.1025 against 88.2650 on Friday, when it fell to a record low of 88.36. The Indian FX market was closed on Monday.

Most Asian currencies traded higher on Tuesday except for Indonesian rupiah, which was down 1.04 percent after the abrupt ouster of the nation’s influential finance minister. The dollar index was down 0.08 percent.