USD/INR closed at 70.0250 against its opening at 70.27. USD/INR ends and traded down on Thursday as improved risk appetite lowered demand for the greenback which was already pressured by weak data from the US overnight.
Trump administration officials said that President Donald Trump is expected to delay a decision to impose auto tariffs by up to six months to avoid blowing up negotiations with the EU and Japan and further antagonize allies as he ramps up his trade war with China.Trump faces a deadline of May 18 over how to proceed with his threat to slap a tariff of as much as 25% on imported cars and parts.Meanwhile, the greenback fell against its major counterparts after dismal retail sales and industrial production data from the US that pointed to slowing economic growth.
The US-China trade tension escalated after President Trump declared a national emergency over any threats against American technology. Following the order, the US Department of Commerce announced the addition of China's Huawei Technologies and its affiliates to the Bureau of Industry and Security (BIS) Entity list, making it more difficult for the Chinese telecom giant to conduct business with US companies.
The dollar index, which tracks the movement of greenback against a basket of six major currencies, traded at 97.56 late Thursday compared to 97.63 at close of Indian market on Wednesday.
Sensex provisionally ends 357 points higher, with eight components in the red.