Rupee appreciates by 8 paise against dollar in early trade
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 US dollar against some other currencies overseas supported the rupee.
The rupee appreciated by 8 paise to 67.13 against the US dollar in early trade on Friday 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 US dollar against some other currencies overseas supported the rupee.
India's current account deficit (CAD) narrowed sharply to $0.3 billion or 0.1% of gross domestic product (GDP) in the fourth quarter (Q4) of 2015-16 from $7.1 billion or 1.3% in third quarter (Q3) on account of lower trade gap.
For the full fiscal 2015-16, CAD stood at $22.1 billion or 1.1% of GDP as against $26.8 or 1.3% 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 Thursday, 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 Bombay Stock Exchange (BSE) Sensex rebounded 188.80 points or 0.71% to 26,714.26 in early trade on Friday.
Get Latest Business News, Stock Market Updates and Videos; Check your tax outgo through Income Tax Calculator and save money through our Personal Finance coverage. Check Business Breaking News Live on Zee Business Twitter and Facebook. Subscribe on YouTube.
RECOMMENDED STORIES
Retirement Planning: SIP+SWP combination; Rs 15,000 monthly SIP for 25 years and then Rs 1,52,000 monthly income for 30 years
Top Gold ETF vs Top Large Cap Mutual Fund 10-year Return Calculator: Which has given higher return on Rs 11 lakh investment; see calculations
Retirement Calculator: 40 years of age, Rs 50,000 monthly expenses; what should be retirement corpus and monthly investment
SBI 444-day FD vs Union Bank of India 333-day FD: Know maturity amount on Rs 4 lakh and Rs 8 lakh investments for general and senior citizens
EPF vs SIP vs PPF Calculator: Rs 12,000 monthly investment for 30 years; which can create highest retirement corpus
Home loan EMI vs Mutual Fund SIP Calculator: Rs 70 lakh home loan EMI for 20 years or SIP equal to EMI for 10 years; which can be easier route to buy home; know maths
10:13 AM IST