The rupee has been the best-performing emerging market currency in 2014 providing a welcome break for investors, who spent much of 2013 watching the currency crash from one low to another.
The strength in the rupee helped attract foreign investment and underpinned the domestic stock markets in 2014. But as the year draws to a close, the currency has started weakening again.
Last week, Finance Minister Arun Jaitley had to make a statement in Parliament after the rupee hit a 13-month low of 63.89 against the dollar
Mr Jaitley may have to face many more questions about the rupee in the coming months as analysts expect the currency to face increasing headwinds in 2015.
"The rupee is expected to weaken further against the dollar and the first target is 65/dollar," said Saagar Bajaj, technical analyst with Nirmal Bang. Madan Sabnavis, chief economist of CARE Ratings expects the rupee to hover between Rs 64- Rs 65 a dollar in the coming days.
Moses Harding, group CEO and chief economist at Srei Infrastructure Finance tweeted today, "Taking all cues in play, #USD/INR is seen to have set up ST base at 62.85/63.10-63.35 with goal post now at 64.85-65.10/65.35 by end FY15."
Source:profit.ndtv.com
No comments:
Post a Comment