<h1>Rupee edges to 88.20 amid managed volatility as central bank likely uses FEMA powers and exchange rules</h1> Rupee strengthened marginally to 88.20 against the US dollar after range-bound trading, with market participants attributing controlled volatility to likely central bank intervention under its foreign exchange management powers. Movements were influenced by anticipatory US interest-rate decisions and international trade tensions following critical remarks by a US trade official about host-country tariff policies. Data showed a rise in national foreign exchange reserves, supported by higher gold valuations, while domestic equities slipped and foreign institutional net purchases continued. Legal implications involve potential continued use of central-bank instruments under FEMA and exchange regulations to manage volatility, and heightened scrutiny of tariff-related trade disputes affecting cross-border capital and goods flows.