Currencies

The Indian stock markets could face a slowdown in earnings growth after a strong five-year run, even as the economy is expected to grow at 6.7% in the next financial year, according to Lighthouse Canton’s India Outlook 2025 report. The global investment institution’s report, released on Thursday, highlighted key risks to investor sentiment, including recalibrating market valuations, external currency pressures, and uncertainties in commodity markets.The report noted that while India’s economic growth remains promising, the next phase will depend on how earnings recover. Factors such as government capital expenditure, tax...

The U.S. dollar's status as the global reserve currency continues to erode, with gold and “non-traditional” reserve currencies gaining ground. According to recently released IMF data, the dollar’s share of global reserve currencies slid further last year. Total holdings of dollar-denominated securities by central banks (excluding the Federal Reserve) fell by $59 billion in 2024. As of the end of last year, dollars made up 57.8 percent of global reserves. That is the lowest level since 1994, representing a 7.3 percent decline in the last decade. In 2002, dollars accounted...

The Greenback loses ground against all major currencies on Thursday as markets digest Trump’s tariff announcement President Trump announced a base 10% tariff for all countries exporting goods to the US and additional levies per country. The US Dollar Index is hit hard and falls below the 102.00 level. The US Dollar Index (DXY), which tracks the performance of the US Dollar (USD) against six major currencies, is having a really bad day, trading at levels not seen since early October around 101.800 and correcting near 1.80% at the time of writing on...

The Pakistani rupee (PKR) closed in red to start the fourth month of 2025 against the US Dollar (USD) today after opening trade at 281 in the interbank market. On a day-on-day (DoD) basis, the interbank rate stayed at 280-282/$ most of the day before closing at the 280 level. Open market rates across multiple currency counters remained at the 281-282 level today. It was stable all day and closed in red against the greenback. Meanwhile, it posted losses against most of the other major currencies during today’s session. The...

The U.S. has imposed a 26% tariff on imports from India, dealing a blow to New Delhi's hopes for leniency under President Donald Trump’s global trade policies. A baseline 10% tariff begins Saturday, with the full rate effective April 9. Trump cited India's 52% tariffs on U.S. goods as justification, calling the move a reciprocal measure. India now faces new challenges in sectors like electronics and gems and jewellery, which represent nearly $23 billion in exports. However, the U.S. exempted Indian pharmaceutical exports—worth around $9 billion annually—providing relief to the...

Donald Trump announces 26% ‘discounted reciprocal tariff’ on India | Video Credit: The Hindu U.S. President Donald Trump on Wednesday (April 2, 2025) listed the high tariffs charged by India on American products as he announced reciprocal tariffs on countries across the board, declaring a 26% “discounted reciprocal tariff” on India. President Donald Trump departs after signing an executive order at an event to announce new tariffs in the Rose Garden of the White House on April 2, 2025. | Photo Credit: AP “This is Liberation Day, a long-awaited moment....

South-east Asian stocks and currencies fell after Asian emerging nations were given some of the biggest tariff increases by US President Donald Trump. Vietnamese shares tumbled.Vietnam’s main stock index slid as much as 6.2 per cent, heading for its biggest one-day drop in more than four years, while equities in Thailand, the Philippines, Malaysia and Singapore also declined. The Thai baht weakened as much as 0.8 per cent against the dollar, and the Vietnamese dong and Malaysian ringgit also dropped.South-east Asian assets slipped after the region was hit particularly hard...

Despite initial volatility during Trump's announcement, sterling benefited from the UK's comparatively lower 10% tariff rate. This more favourable treatment reflects Britain's balanced trade relationship with the US. "It is not just sterling strength though, it is US dollar weakness – hence the mixed performance of other GBP crosses whilst the USD is lower across the board. "This is understandable because ultimately, US consumers and businesses shoulder the higher import costs – and US recession risks have shot up, dragging US yields lower," George explains. UK fintech companies may find...

After Trump on Wednesday unveiled a raft of punishing “Liberation Day" tariffs, stock futures tumbled. The U.S. dollar whipsawed against major currencies. This highlights the confusion that has overtaken Wall Street regarding how to trade the U.S. currency. Most analysts have insisted that tariffs should push it up, reflecting how potential fewer purchases of overseas goods would narrow the trade deficit and mechanically reduce U.S. demand for foreign exchange. Also, U.S. growth is outpacing the eurozone’s, which has historically been dollar-positive. Yet this isn’t how it has played out so...

It's a risk-off day in Asia as traders look to Beijing's response to U.S. President Donald Trump's sweeping reciprocal tariffs on China and other Asian nations.On Wednesday, Trump announced tariffs on imports from 180 nations, including trading partners identified as the worst offenders, such as China and the European Union.The president imposed a new 34% tariff on goods from China in addition to the existing 20% tax, bringing the total levy to 54%, the highest for any nation. The action did not affect Canada and Mexico.Observers say the ball is...