Trade deficit for Sept surprisingly lower at $6.7 billion

Business

oi-Sunil

By Sunil Fernandes

Published: Wednesday, October 9, 2013, 11:59 [IST]

Trade deficit for the month of Sept has come in at a surprisingly lower level of $6.7 billion, thanks to gaining exports and falling imports.

The rupee which was trading lower sharply lower beyond the 62 levels, recouped losses and was last trading at 61.95 to the dollar.

The September imports were down 18.1 per cent year on year at $34.4 billion, thanks to the sharp fall in gold imports.

In fact, gold and silver imports were just $0.8 billion for Sept, as against $4.6 billion, year on year. Exports on the other hand gained.

Today's trade data is positive, given that it would help improve the current account deficit. The rupee had hit a lifetime high of 68.81 against the dollar, after the current account deficit worsened.

However, today's trade data was encouraging and is likely to help the current account deficit and the Indian rupee higher.

GoodReturns.in