On Friday, September 19, 2025, the Indian rupee showed a positive trend, gaining 9 paise to provisionally close at 88.11 against the U.S. dollar. This uplift was largely fueled by a growing sense of optimism surrounding the ongoing trade negotiations between the United States and India.
Forex traders noted that timely intervention by the Reserve Bank of India (RBI) played a crucial role. These actions helped to stabilize the domestic currency, effectively curbing volatility and preventing any rapid depreciation.
Throughout the day’s interbank foreign exchange trading, the rupee began at 88.22. It experienced an intraday low of 88.34 but also reached a high of 88.06 against the U.S. dollar. By the close of trading, the Indian currency had provisionally settled at 88.11, marking a 9 paise increase from its previous closing value.
This positive movement follows a dip on Thursday, when the rupee had depreciated by 35 paise, closing at 88.20 against the U.S. dollar.
A significant source of this market optimism stems from ongoing U.S.-India trade talks. Chief Economic Adviser V. Anantha Nageswaran recently voiced his confidence that punitive tariffs currently placed on specific imports are likely to be lifted after November 30.
Speaking on Thursday, Mr. Nageswaran projected that a resolution to these tariff disputes with the United States could be reached within the next eight to ten weeks.
During an interactive session hosted by the Bharat Chamber of Commerce in Kolkata on Thursday, he stated, “I hope that the penal tariff would possibly be removed by the end of November.”
Concurrently, the dollar index, which measures the U.S. dollar’s strength against six major global currencies, saw a modest rise of 0.17%, reaching 97.51.
In commodity markets, Brent crude, the international benchmark for oil, was trading slightly lower, down 0.59% at $67.04 per barrel in futures trading.
Looking at the domestic equity markets, the Sensex closed down by 387.73 points, settling at 82,626.23, while the Nifty also experienced a decline, dropping 96.55 points to finish at 25,327.05.
Exchange data indicated that Foreign Institutional Investors (FIIs) were net buyers on Thursday, acquiring equities worth ₹366.69 crore.
Further bolstering the positive sentiment, Commerce and Industry Minister Piyush Goyal affirmed on Thursday that trade discussions between India and the U.S. are advancing favorably and heading in a productive direction.
He mentioned that Assistant U.S. Trade Representative for South and Central Asia, Brendan Lynch, held a day-long meeting with the Indian official team in New Delhi on September 16.
These discussions are particularly significant given the U.S.’s imposition of a substantial 50% tariff on certain Indian products.