# Rupee to rise on drop in US yields after Fed tweaks balance sheet runoff

> The rupee was expected to strengthen after US Treasury yields fell when the Federal Reserve said it would slow its balance sheet runoff from next month. The Fed's dot plot also pointed to two rate cuts this year. The 2-year Treasury yield slipped below 4%.

- Date: 2025-03-20 · published 2025-03-20T12:00:00.000Z
- Category: macro · region India · magnitude low
- Page: https://feedsoft.ai/events/25879-rupee-to-rise-on-drop-in-us-yields-after-fed-tweaks-balance-sheet-runoff
- Commodities: [Indian Rupee (INR per USD)](https://feedsoft.ai/c/USDINR.md)

## Why it matters

A stronger rupee makes Indian exports such as rice and meal dearer in dollar terms, which can weigh on Indian export offers. Lower US yields tend to ease pressure on emerging-market currencies generally.

## Read by commodity

- USDINR: bearish ▼

## Sources

- reuters.com: https://www.reuters.com/markets/currencies/rupee-rise-drop-us-yields-after-fed-tweaks-balance-sheet-runoff-2025-03-20/

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.