India-US trade deal effect: Rupee closes 122 paise higher amid positive sentiment 

The Indian rupee opened 111 paise higher at 90.40 on Tuesday against the US dollar compared to Monday’s close of 91.49. The rally in rupee was caused by India–US trade deal that lifted sentiment in the forex market. Later, the Indian currency closed 122 paise higher at 90.27 against the US dollar.    

On Monday, the rupee gained 42 paise to close at 91.49 (provisional) against the US dollar. With today's rally, rupee has pared losses on a year-to-date basis. The Indian currency is down just 0.56% in 2026 and lost 4.55% in a year. 

 Meanwhile,  domestic equity benchmarks Sensex and Nifty zoomed in early trade on Tuesday. Sensex jumped 2375.07 points, or 2.91%, to 84,041.53. The NSE Nifty advanced 723 points, or 2.88%, to 25,811.40. Later, the 30-share BSE Sensex surged 2,072.67 points or 2.54 per cent to close at 83,739.13 and Nifty50 rallied 639.15 points or 2.55 per cent to settle at 25,727.55. Nifty Midcap and Smallcap indices rose 2.84 per cent and 2.82 per cent, respectively, reflecting a strong improvement in risk appetite.