Since March 1, , the Dollar has gained close to 1. Another factor that is putting additional pressure is the dwindling support of the foreign portfolio investors, who pumped huge inflows into Indian equity markets between October and February. While the FPIs invested a net of Rs 1. Market participants say the Rupee may hit levels of over the next couple of months and that can be a cause of concern for importers, or other individuals who have planned expenditure in foreign currency.
With Covid numbers rising as of now, it continues to pose a threat to the pace of recovery and that is raising concerns over INR. A concern over economic activity and growth of the economy in turn is slowing down the pace of FPI inflows which provides a strong support to Rupee.
Many feel that with the country looking to push manufacturing and exports, RBI too may not intervene to arrest the decline of the Rupee, if it is gradual. He predicted the currency could appreciate to levels near In , he expects the rupee to trade around the Last year, India recorded a current account surplus for the first time in over a decade due to a collapse in domestic demand for imports as a result of the pandemic.
That implied the value of incoming goods, services and investments into India was lower than the amount that left the country. UBS strategists said India's quarterly current account balance has deteriorated rapidly from last year, driven by a rebound in oil prices.
It expects the rupee to reach 73 against the dollar by year-end and says the currency will likely end flat with its end level. In the longer term, the bank expects modest weakness where the rupee could weaken to 75 against the dollar. Federal Reserve chair Jerome Powell last month indicated that the central bank is likely to begin withdrawing some of its easy-money policies before the end of the year , though he still sees interest rate hikes off in the distance.
The rupee on Monday closed at The domestic currency on Thursday settled at The domestic currency today opened at The rupee was last at The domestic currency on Wednesday edged closer to The rupee on Wednesday opened at ETMarkets caught up with two experts on the Indian currency to take a look at what is the road forward for the rupee.
The rupee on Monday, settled at The Indian currency had opened the day at The year US bond yield was last at 1. The rupee on Thursday settled at The domestic currency had opened at The rupee has taken a beating over the past couple of days, weakening 0. At the interbank foreign exchange market, the rupee opened on a weak note at For a brief period, it ventured into positive territory and touched a high of Meanwhile, the Dollar Index, a gauge that measures the greenback's strength or weakness against six major currencies, was at Have you read these stories?
SC for 2-day lockdown to fix Delhi's air Updated: Nov 13, , The top court rapped Centre and Delhi governments for the deteriorating air quality in the capital, asking them to prioritise an emerg Thanks to the rapid jump of crude oil in the global market, and strengthening of the US dollar, the rupee is on a downward spiral. The Indian rupee fell to a month low of However, the only good news is that the rupee is still higher than its all-time low of Rising crude oil prices and strong US dollar are seen to be the key reasons for the sliding rupee.
OPEC's decision not to increase output further exacerbated global supplies. The Chinese credit crisis and global fuel crisis are likely to hit emerging economies harder than others. There are fears of economic slowdowns, credit defaults and loan repayment delays to the IMF and other global lending agencies," says Vijay L Bhambwani, head of research, Behavioural Technical Analysis, Equitymaster.
0コメント