Rupee continued its upward rally on Friday, rising 17 paise to 91.41 against the US dollar in early trade. This comes after US President Donald Trump softened his stance on tariff threats against Europe over Greenland, easing fears of another trade war. Forex traders said that the US President’s change in stance lowered near-term geopolitical concerns. As investors’ risk appetite improved, the dollar corrected, allowing emerging market currencies, including the rupee, to recover slightly, they added. Rupee opened at 91.45 at the interbank market before strengthening to 91.41, following Thursday’s rebound from record lows when it had gained 7 paise to close at 91.58. Despite the improvement, the currency is facing pressure from sustained foreign fund outflows amid ongoing global uncertainties. Foreign institutional investors continued to offload equities, selling shares worth Rs 2,549.80 crore on Thursday, according to exchange data. Traders pointed to the pending US trade agreement as a key factor for rupee’s movement. They further added that until the geopolitical risk eases and the trade deal materialises, the rupee is likely to remain vulnerable to external shocks. Commenting on the outlook, Amit Pabari, MD of CR Forex Advisors, said in a research note, “At current levels, a large portion of global risk appears to be priced into the rupee. This opens the door for a phase of consolidation and a possible partial recovery if risk sentiment stabilises. The 92.00 level remains a strong resistance, while sustained RBI support could guide USD/INR back toward the 90.50–90.70 zone in the near term.” Elsewhere, the dollar index, which tracks the greenback against six major currencies, edged up 0.01% to 98.36. Brent crude futures rose 0.87% to $64.62 per barrel.