Finance News

Story: US-India Trade Deal Boosts Rupee Hopes as Markets Watch Currency Move

By Evie Vavasseur

1 / 15

MUFG's Michael Wan dropped big news. The fresh US-India trade deal with tariff cuts and exemptions could pump up India's money situation, and the rupee might actually climb…

2 / 15

Wan thinks USD/INR could fall below 90 pretty soon, which would be huge for Indian traders who've watched their currency get beaten up for months.

3 / 15

But nobody's really sure what happens next because, let's face it, these trade deals can go either way depending on a million different factors.

4 / 15

The rupee's path forward depends on way too many moving parts right now. Global economic trends, domestic policy changes, international trade drama - it's all mixed up together…

5 / 15

Reserve Bank of India officials are probably glued to their screens watching every rupee move since February 13 when this whole thing got announced.

6 / 15

Over in Washington, the Office of the United States Trade Representative keeps talking about how important this partnership is for both countries.

7 / 15

Credit Suisse's Neelkanth Mishra thinks the deal moves things forward but won't mean much unless Indian exporters actually get real benefits from the tariff cuts.

8 / 15

Both sides are already prepping for more negotiations on other trade issues. Seems like this interim deal is just the start of bigger conversations about removing trade barriers…

9 / 15

The Confederation of Indian Industry jumped all over this news on February 13. CII President R.

10 / 15

India's Commerce Minister Piyush Goyal said the trade pact fits with India's plan to get deeper into global supply chains.

11 / 15

US Trade Representative Katherine Tai called the agreement a cornerstone for fixing trade relations with major partners.

12 / 15

Goldman Sachs analysts put out a note saying the trade deal could stabilize the rupee while global economic uncertainty keeps everyone on edge.

13 / 15

Federation of Indian Export Organisations got excited about export potential. FIEO President A.

14 / 15

Wall Street traders are watching USD/INR movements like hawks right now. The currency pair's behavior after the trade deal announcement could change forex trading strategies…

15 / 15

Government officials in New Delhi are getting ready for follow-up talks with US counterparts in coming months.

The Currency Analytics

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