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India’s robust 8.2% GDP growth in the July-September quarter, a testament to the government’s reform agenda and business-friendly policies, solidifies its standing as the world’s fastest-growing major economy. This impressive expansion, driven by strong public investment, services, industrial output, and consumption, refutes earlier doubts and signals continued economic momentum.

The Indian rupee is unlikely to see a sharp fall soon, having already depreciated 4% this year and trading in a narrow band. Union Bank of India anticipates the rupee to remain range-bound between 88.80 and 89.50 through December, with potential strengthening contingent on equity inflows or progress on the India-US BTA.

Indian exports to the US plummeted by 28.5% between May and October 2025 due to aggressive US tariff hikes, hitting labour-intensive sectors hardest. Shipments dropped significantly as duties surged, making Indian goods heavily taxed compared to competitors. Delays in operationalizing export promotion schemes are further hindering recovery efforts.

Donald Trump asserted his tariff regime has made the U.S. “Rich, Strong, Powerful, and Safe,” claiming it has stopped wars, strengthened alliances, and boosted the stock market. He attributed these outcomes to “Strong Leadership and TARIFFS,” as tariff revenues have significantly increased, with a Supreme Court ruling on presidential authority pending.

India’s new labour codes have drastically cut jail-bound offences to just six, down from 87, with 16 now compoundable. This reform aims to simplify compliance for businesses while bolstering worker protections. The government consolidated 29 laws into four codes, emphasizing decriminalization and rationalized penalties, fostering a more facilitative regulatory environment.

India’s economy surged past expectations, posting an impressive 8.2% real GDP growth in the second quarter of FY 2025-26, the highest in six quarters. This robust performance solidifies India’s position as the world’s fastest-growing major economy, driven by strong secondary and tertiary sector contributions. Private consumption also showed a healthy uptick.

Gold and silver prices surged in futures trade on Friday, buoyed by positive global sentiment and increased expectations of a US Federal Reserve rate cut next month. City-wise, gold prices showed mixed trends, with Delhi and Chennai experiencing gains while Noida, Mumbai, and Kolkata saw slight declines.

India aims to finalize the initial phase of its Bilateral Trade Agreement with the US by year-end, with commerce secretary Rajesh Agarwal expressing optimism despite global trade shifts. Negotiations have advanced significantly, though last-minute hurdles remain a possibility. Discussions are also progressing on an immediate Framework Trade Deal to address US tariffs on Indian goods.

India’s fiscal deficit reached 52.6% of the full-year target by October 2025, a notable increase from last year’s 46.5%. Total expenditure touched Rs 26.25 lakh crore, with significant portions allocated to interest payments and subsidies. Government revenue collection is at 51.5% of estimates, indicating a widening gap that warrants attention.