India in uproar over rupee’s fall” - was the headline in The Washington Post in August 2013, we are now again looking at similar headlines exactly after five years. Many of us are wondering, is it the same story or its different this time.
oming to the present, we have seen the rupee depreciate from Rs 64 per dollar at the beginning of January 2018 to Rs 72.91 per dollar by the mid of September, which makes it 14 percent in 8 months. Though it can’t be compared to the carnage we have witnessed in 2013, but the uproar among the investors and importers seems to mimic the pain.
The problem like most other times is that the sudden depreciation, especially the Rs 6 per dollar fall in three months between June and August, caught many importers and analysts’ off-guard.
Most of the analysts (including us) were sitting duck this time as there were no warning bells. If we see the situation in 2013 discussed above compared to now, the most important external factor the markets were worried about was the Fed tightening, but this was going on the most anticipated path without any major surprise and was well discounted.
Visit: Forex trading tips stock market tips Share Tips Exper
No comments:
Post a Comment