Indian Rupee Hits Record Low; Upcoming Week Crucial for Establishing New Range

The INR or Indian rupee has always made news and this time for dropping to an extremely low level against the USD or dollar this Friday. This seems to have affected the outage of interbank order matching over the matching system and it has promoted the central bank that came along with stepping in. As per reports, the Indian Rupees record of 83.42 to the dollar that seemed to have last at 83.39. We can get the narrow range for around a month with RBI and it is certainly not allowed to weaken the past with 83.30 claims to the trade. 

As per a forex trade from the said bank, it is very much impossible to decide upon the drop that goes to around 83.30.  ICBC’s Associate Vice President of Treasury, Alok Sharma, expects low trading activity in the rupee on Monday due to the Diwali holiday. He will be closely monitoring market movements from Wednesday onwards.

An outage of the interbank order matching system exacerbated pressure on the rupee, likely prompting the RBI to intervene to calm the market. Some analysts believe that the central bank is unlikely to allow the rupee to depreciate unchecked.

The RBI will continue to defend the Indian rupee “in a systematic way,” as it has done in recent months, according to Arnob Biswas, head of foreign exchange research at SMC Global Securities. However, Biswas also noted that the trading range for USD/INR has shifted higher. Stay tuned to know more about it and others only with us. If you have anything to share, do comment below. 

Ziya Khan

Related Articles

Back to top button