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That confidence was reflected in the resulting strong performance of the rupee. While Indias currency benefited directly, other Asian currencies drifted upwards as well, with regional performance a factor which helped both the Philippine peso and Thai baht. If a nation such as China were to broker a deal with Russia over gas, both currencies may benefit.

If markets believed one trade partner has the better side of the deal then one currency may gain while another suffers. Traders may take a view on future foreign policy and invest accordingly.