<h1>Rupee's early gains amid tariff threats and monetary shifts raise legal, regulatory risks for cross-border trade and FX compliance</h1> The rupee's modest early appreciation against the dollar occurred amid market volatility driven by potential US tariff threats and divergent macro signals, raising legal and regulatory risks for cross-border trade and investment. Ongoing tariff tensions could prompt formal trade remedies or retaliatory measures affecting import/export duties and contractual obligations, while central bank intervention to stabilize the currency may trigger regulatory scrutiny of foreign-exchange operations. Anticipated US monetary-policy shifts and domestic equity outflows increase potential compliance and disclosure requirements for financial institutions and corporates exposed to currency and trade-related risks.