The Indian rupee traded around 88 per dollar, pressured near historic lows, as steep US tariffs continued to weigh on market sentiment. Washington imposed a 50% tariff on key Indian exports from August 27, citing India’s opportunistic purchases of discounted Russian oil. US President Trump also urged the EU to impose 100% duties on Chinese and Indian goods to increase pressure on Russia, while signaling the US could mirror such measures. Despite this, he noted that trade talks with India are continuing to address barriers, expressing confidence in a successful outcome. A broadly weaker dollar offered some relief after weak US jobs data reinforced bets of Fed rate cuts, but traders said sustained dollar demand from importers and portfolio outflows is likely to keep the rupee under pressure. Looking ahead, US inflation data this week will be closely watched for signs of tariff-driven price pressures, while India’s CPI data on Friday will provide fresh insight into domestic price trends.