Rupee Fall: Indian Rupee hits all time low against US Dollar
The Indian rupee plunged to an all-time low and breached the Rs 79-mark against the US dollar for the first time.
What’s leading to the fall in Rupee?
- The rupee hit record low against the dollar on Wednesday as renewed focus on the weak economic outlook prompted losses on Asian currencies.
- The elevated global crude oil prices further weakened the Rupee as India heavily imports crude oil.
- Foreign investors continue to withdraw money from Indian markets and have pulled out close to Rs 56,123 crore till date in June.
How does falling rupee impact you?
- Imported goods and materials become more expensive, driving up the inflation.
- However, in case you’re investing in US Stocks from India, your portfolio will benefit from rupee depreciation.
- Indian exporters will also benefit as their goods and services become more competitive in price.
Analysts View on Rupee depreciation
- Analysts believe the rupee could further depreciate to Rs 80 against the US dollar over the near-term.
- If the pace is sharp, then it could lead to inflation and general instability in markets.
- The US Central Bank meeting in July will determine the further course of Rupee.
To know more on the fall and its impact Read here.
What is the highest ever dollar to INR?
Highest usd-inr rate till now is 1 USD = 79 INR.
Will dollar rate increase or decrease?
Analysts believe the rupee could further depreciate to Rs 80 against the US dollar over the near-term.
Is falling rupee good for India?
Rupee falling has both good and bad consequences.