Currency Check: Rupee opens 16 paise lower as hawkish Fed boosts rate hike bets — TradingView News
The Indian rupee opened lower on June 18, after a hawkish surprise from the U.S. Federal Reserve boosted bets of an interest rate hike later this year.
The rupee opened 16 paise lower at 94.69 against the US dollar on Thursday, compared to Wednesday’s close of 94.53.
The US Federal Reserve has kept interest rates unchanged on Wednesday at 3.5%-3.75%, extending a pause that has been in place since late 2025, delivering a widely expected decision in the first policy meeting chaired by Kevin Warsh.
According to Finrex, with exporters getting an opportunity to hedge their receivables higher we expect that exporters will sell higher towards 94.80/95.00 levels while importers who have got enough opportunities may wait for flows to come in so that they can buy the $ lower towards 94.35/40 when it comes.
Asian currencies witnessed broad weakness against the US dollar, reflecting cautious market sentiment and continued dollar strength.
The South Korean Won emerged as the worst performer, falling 0.61 percent, followed by the Malaysian Ringgit, which declined 0.58 percent. The Philippine Peso lost 0.34 percent, while the Indonesian Rupiah and Taiwan Dollar slipped 0.21 percent and 0.16 percent, respectively. The Chinese Renminbi and Japanese Yen remained relatively stable, easing just 0.06 percent and 0.02 percent.
Among the gainers, the Thai Baht rose 0.05 percent, and the Singapore Dollar added 0.03 percent, making them the only currencies to strengthen against the greenback.
Meanwhile, the US dollar held near a more-than two-month high as markets increased bets on additional Federal Reserve rate hikes this year, adding fresh pressure on the Japanese yen and pushing it closer to levels that could prompt intervention by Japanese authorities.
The euro last traded a shade stronger at $1.1511 and sterling strengthened to $1.3318, after touching the currencies touched two-month lows earlier.
The risk-sensitive Australian dollar and the New Zealand dollar were both up roughly 0.2% to $0.7025 and $0.5780, respectively.
The dollar index, which measures the greenback against a basket of currencies including the yen and the euro, was little changed at 100.31.
It surged 0.85% to the strongest level since March 31 in the previous session, in its biggest single-day gain since March 2.
