New Delhi, Sept. 25 -- The Indian rupee has depreciated by 6.76% against the US dollar so far in 2026 and is currently at Rs.95.95 per US dollar. While a depreciating Indian rupee is typically viewed negatively due to foreign capital flight risks and inflation fears, its impact on corporate earnings is nuanced, said Prateek Parekh, executive director - equity research, Nuvama Institutional Equities. At an index level, a weak rupee acts as a net positive for earnings by boosting export-heavy sectors, even though it presents challenges for consumer-facing segments and margins facing broader supply shocks. Edited excerpts:

Rupee depreciation is generally perceived to hurt India Inc.'s sentiments. This is because it causes capital flight (as...