By Malvika Gurung
Investing.com -- After falling for three consecutive days, the Indian rupee appreciated by 26 paise at 75.26 against the US dollar (USD/INR), as trade opened on Wednesday.
A day prior, the rupee had depreciated to end at 75.52 against the USD, as the market closed. This depreciation came due to the strong dollar in global markets, along with soaring oil prices.
On Wednesday however, positive macroeconomic data and spikes recorded in the Indian benchmark indices, in conjunction with a weaker hold of the greenback in overseas markets are factors contributing to an appreciation in the Indian rupee value against the USD.
Furthermore, the INR opened at 75.29 against the USD and then to 75.26, registering an overall appreciation of 26 paise compared to Tuesday’s close.
Additionally, the retail inflation as measured by the CPI recorded a five-month low of 4.35% in September 2021, from 5.3% in August, reported the National Statistical Office on Tuesday, as the prices of vegetables, eggs and other food items ease down.
Similarly, the improving performances of industrial, mining and manufacturing activities have led to a spur in the index of industrial production (IIP) to 11.9% in August 2021, soaring for the sixth consecutive month.