Jump to content
House Price Crash Forum
Sign in to follow this  
Ash4781

Rupee Falls To Record Low; Bond Yields Hit 5-Year High

Recommended Posts

http://in.reuters.com/article/2013/08/19/markets-rupee-dollar-idINDEE97I01R20130819

(Reuters) - The rupee hit a record low on Monday as defence of the currency failed to stop its decline but exacted a rising toll, with bond yields surging to five-year highs and investors demanding higher returns in an auction of cash bills.

The partially convertible rupee tumbled as far as 63.30 to the dollar despite measures in recent weeks by the central bank and government to defend it. It ended at 63.13/14, down 2.3 percent, its biggest single-day fall since September 22, 2011.

Efforts to prop up the currency, which has tumbled nearly 13 percent against the dollar this year, have thus far proved ineffective, making it the worst performer in emerging Asia and threatening to drive the region's third-largest economy towards a full-blown crisis.

In a further threat to the already-slowing economy, the Reserve Bank of India's (RBI) effort to shore up the currency by draining liquidity from financial markets is pushing up market interest rates.

I am not sure what's going on in India (articles hint of investor panic) but seems part in fall out from expected fed strategy move. Could this blow up Argentina style?

Edited by Ash4781

Share this post


Link to post
Share on other sites

Rupee Falls To Record Low

It looks as if India has beaten the UK to it.

Is Carney the Economic Devastator doing some moonlighting for them on the side.

Edited by billybong

Share this post


Link to post
Share on other sites

Create an account or sign in to comment

You need to be a member in order to leave a comment

Create an account

Sign up for a new account in our community. It's easy!

Register a new account

Sign in

Already have an account? Sign in here.

Sign In Now
Sign in to follow this  

  • Recently Browsing   0 members

    No registered users viewing this page.

  • The Prime Minister stated that there were three Brexit options available to the UK:   206 members have voted

    1. 1. Which of the Prime Minister's options would you choose?


      • Leave with the negotiated deal
      • Remain
      • Leave with no deal

    Please sign in or register to vote in this poll. View topic


×

Important Information

We have placed cookies on your device to help make this website better. You can adjust your cookie settings, otherwise we'll assume you're okay to continue.