The Indian rupee is likely to come under severe pressure in opening trades on Friday as dollar index jumped to a two-week high after Trump confirmed that his proposed 25% tariffs on Mexico and Canada will take effect on March 4, along with additional 10% duty on Chinese goods. DXY is quoting at 107.30. Yesterday, rupee depreciated 2 paise to close at 87.21 against US dollar as a muted trend in domestic markets and persistent foreign fund outflows weighed on investor sentiments. Moreover, month-end dollar demand also boosted the American currency. Meanwhile, the benchmark 30-share BSE Sensex fluctuated in a narrow range before ending the session up 10.31 points at 74,612.43. The broader NSE Nifty index closed at 22,545.05, down 2.50 points from its previous close. Meanwhile, the Reserve Bank has decided to inject Rupee liquidity for longer duration through long-term USD/INR Buy/Sell swap in order to meet the durable liquidity needs of the system. Accordingly, the Reserve Bank will be conducting a USD/INR Buy/Sell swap auction of USD 10 billion for a tenor of 3 years on 28th February 2025. This swap auction is expected to provide short-term stability to the Indian Rupee, helping mitigate volatility caused by foreign fund outflows.