Indian rupee gains 10 paise against US dollar
On Friday, the Indian rupee edged up by 10 paise, closing at 87.78 against the US dollar.
This move comes as India-US trade talks generated optimism and crude oil prices dropped, making imports cheaper.
A stronger rupee can benefit importers, but may hurt exporters
A stronger rupee is a win for companies that import oil or buy goods priced in dollars, since their costs go down.
On the flip side, it can make life tougher for exporters, as their products get pricier for buyers overseas.
[Note: This is general economic information and not directly sourced from the article.]
Factors influencing the rupee's performance
The boost mainly came from optimism around India-US trade negotiations and lower oil prices.
Still, the stock market felt some pressure—Sensex fell 344 points and Nifty dropped 96 points—as foreign investors pulled out funds ahead of key US inflation data.