The strong dollar and rising oil costs cause the Indian rupee to drop 9 paise.

According to experts, the strong dollar index and rising oil costs caused the Indian rupee to drop to 9 paise in early trading on January 8. The Indian government's weaker GDP prediction and stock market withdrawals also placed pressure on the local currency. The Indian rupee was trading at 85.83 against the US dollar at 10:30 AM, up from 85.82 at the open and 85.72 at the previous close. The dollar index, which measures the strength of the US dollar relative to a basket of six other currencies, was up from 108.54 on January 7 to 108.63. According to preliminary data issued on January 7, India's growth is expected to fall to 6.4 percent in FY25, its lowest level in four years, driven down by a probable slowdown in investment and manufacturing growth. According to the government's initial projections, growth is probably going to fall below the 7 percent threshold for the first time in four years.