As the federation’s walking fears intensified, shares plummeted to a new record. – Rayrice Forex News

As the federation’s walking fears intensified, shares plummeted to a new record.

NEW DELHI: Rapes hit record low against US dollar

The weakening of the domestic equity market has led to a weakening of the domestic currency, which has fallen 0.8 percent against the US dollar this week.

The partially converted rupee opened at 77.4190 / $ 1 with 77.2400 / $ 1 at the previous closing. On the day, the new Indian exchange rate was the lowest ever of 77.5930 / $ 1, surpassing the record low of 77.5250 / $ 1 on the day of May 9.

On May 9, the rupee closed at a low of 77.4650 / $ 1. On Thursday, the domestic unit moved in the 77,3260-77.5930 / $ 1 band.

“Yesterday, US CPI inflation data fell slightly to 8.5% in March from 8.3% in March,” said MD Forex consultant MD Amit Pabari.

Despite signs of inflation, it has remained closed for 40 years following repeated calls for higher federal interest rates. This has again weakened the US equity index and strengthened the US dollar index.

The US dollar was hovering around the 12-year high of 103.95 against the dollar. The index, which hit a high of 104.05 earlier on Thursday, was set at 104.03 last session.

Higher US interest rates reduce the appeal of assets in risky emerging market economies such as India.

Foreign portfolio investors have entered an unprecedented sell-off in Indian stocks, with the net selling at Rs 1.4 crores in 2022.

Traders, on the other hand, expect the Reserve Bank of India to intervene in the foreign exchange market to control the depreciation of the rupee and prevent excessive fluctuations in the exchange rate.

Traders say the central bank, which currently has $ 600 billion in foreign exchange reserves, has recently stepped in to intervene in the front line to protect the ruble against the strong dollar.

“The RBI is trying to hold India’s rupee as a shield. Security around 77.50 will be key in the short term before moving to the 78.00 level. “It shows weakness,” said Pabari.


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