USD/INR opens flat near 90.20 on last trading day of 2025

The Indian Rupee opens on a flat note against the US Dollar (USD) on the last trading day of 2025. The USD/INR pair wobbles around 90.20 as trading volume remains thin globally in the final stretch of the year. However, the outlook of the pair remains firm as interest of overseas investors toward the Indian stock market remains grim due to trade stalemate between the United States (US) and India.

This year, Foreign Institutional Investors (FIIs) remained net sellers in almost nine months, and offloaded stake worth Rs. 30,752.24 crore. So far in December, FIIs have pared stake worth Rs. 30,752.24 crore.

In 2025, trade relations between the US and India remained sour as Washington raised tariffs on imports from New Delhi to 50%, which included 25% punitive import duty for buying Oil from Russia.

Meanwhile, the US Dollar (USD) trades slightly higher in Asian trading hours, even as most Federal Reserve (Fed) officials have stressed the need for further monetary easing to support the US labor market.

“Most participants noted moving toward a more neutral policy stance would help forestall possible job market deterioration,” Federal Open Market Committee (FOMC) minutes of the December policy meeting showed on Tuesday.

In 2026, the major highlight for the FX market is expected to be the announcement of new Fed Chair by US President Donald Trump. On Monday, Trump said that he will announce Chairman Jerome Powell’s successor sometime in January.

Economic Indicator

FOMC Minutes

FOMC stands for The Federal Open Market Committee that organizes 8 meetings in a year and reviews economic and financial conditions, determines the appropriate stance of monetary policy and assesses the risks to its long-run goals of price stability and sustainable economic growth. FOMC Minutes are released by the Board of Governors of the Federal Reserve and are a clear guide to the future US interest rate policy.