India’s trade deficit widens 13-month high driven by gold imports, weak exports

India’s merchandise trade deficit for September expanded to $32.15 billion, a 13-month high, primarily due to soaring gold and silver imports and a decline in exports to the U.S. The deficit overshot forecasts and tightens space for capital flows and rupee stability. Analysts warn persistent trade pressures could weigh on the current account and fiscal balances. The widening gap also fuels expectations of more foreign inflows or central bank support to anchor currency volatility.