The rupee appreciated by 8 paise to 67.13 on Friday against the US dollar in early trade on fresh selling of the American currency by exporters and bankers on account of lower trade deficit in the last fiscal.
Forex dealers said besides selling of the American currency and positive economic data, a higher opening in the domestic equity market and weakness of the dollar against some other currencies overseas supported the rupee.
- Rupee recovers 21 paise to 72.91 against US dollar
- Rupee gains 8 paise to 73.24 against US dollar in early trade
- Rupee gains 6 paise against US dollar
- Rupee strengthens by 22 paise against dollar in early trade
- Rupee at 2-week high, gains 53 paise in early trade
- Rupee recovers 10 paise against US dollar in early trade
India’s current account deficit (CAD) narrowed sharply to $0.3 billion or 0.1 per cent of GDP in the fourth quarter of 2015-16 from $7.1 billion or 1.3 per cent in third quarter on account of lower trade gap.
For the full fiscal 2015-16, CAD stood at $22.1 billion or 1.1 per cent of GDP as against $26.8 or 1.3 per cent of GDP in 2014-15 on the back of contraction in the trade deficit.
The country’s trade deficit for the entire fiscal narrowed to $130.1 billion from $144.9 billion in 2014-15.
On Friday, the rupee had lost 6 paise to 67.21 against the US dollar on fag-end demand for the American unit from banks and importers amid fall in domestic stocks.
Meanwhile, the benchmark BSE Sensex rebounded 188.80 points or 0.71 per cent to 26,714.26 in early trade on Friday.