The United States (US) dollar index is hovering at a record-high level. The strengthening of the greenback against the Indian rupee should have brought good news for an export-oriented Indian IT services industry.
The rupee’s fall in the past had supported the operating margins of Indian IT firms along with boosting their revenues. But things are different this time around. Not only dollar is strengthening against the Indian rupee, but it has also been going strong against all major global currencies including Euro, Pound Sterling (GBP), Australian Dollar (AUD), and Japanese Yen (JPY) among others.
