<h1>Tariff dispute fuels FII outflows, keeps currency near record lows despite intraday recovery to 88.06 per USD</h1> The domestic currency recovered marginally to 88.06 against the US dollar after intraday volatility, driven by softer crude, a weaker dollar index and positive domestic equities, but remains near record lows amid persistent foreign institutional investor outflows linked to bilateral trade tariff measures imposed by country B on country A. Market commentary flagged continued downside risk from sustained FII selling and upcoming US macro releases. The tariff dispute and associated capital flows raise potential legal and regulatory implications for cross-border trade remedies, investor protection, disclosure obligations and enforcement actions by financial and trade authorities in both jurisdictions.