Rupee Gains Offshore as US Cuts Tariffs; RBI Guidance Awaited

• The Indian Rupee extended offshore gains after the US reduced tariffs on Indian goods, boosting currency sentiment.
• One-month USD/INR non-deliverable forwards (NDFs) fell by 0.4% to 90.28, adding to an overnight decline of 1.3%.
• Donald Trump announced tariffs on India would be cut to 18%, slightly lower than rates for Bangladesh and Pakistan.
• Market participants are cautious, awaiting fresh guidance from the Reserve Bank of India (RBI) this week, as bond markets reacted negatively to the national budget.
• Experts predict the rupee may open around 90.50 onshore and could strengthen towards 90 if foreign investors buy Indian equities and debt.

Why It Matters: Rupee strengthens offshore due to US tariff cuts, but market awaits RBI guidance amid bond market concerns.