Indian Rupee Surges After Trump Slashes Tariffs
The Indian rupee is soaring after the reduction in Trump tariffs: India has received major relief from the US, with tariffs sharply cut from 50% to 18%. The move, announced by former US President Donald Trump, has lifted market sentiment and strengthened the Indian rupee.
On Tuesday, February 3, 2026, the rupee opened around 90.40 against the dollar, gaining about 1.2% as investors reacted positively to the tariff reduction. Forex traders said the decision has improved India’s global outlook and could bring foreign investors back to Indian markets.
The stock market also saw a strong reaction, with the rupee rising 119 paise from its previous close. A weaker dollar and lower crude oil prices further supported the currency.
Earlier, high US tariffs had hurt Indian exporters and reduced their competitiveness. The latest cut is expected to ease pressure on exporters and support economic growth.
