India News Get -BusinessIndian rupee at lowest level against dollar | Market exits and crashes and other details
The Indian rupee has reached its all-time low. The rupee fell by around 2 paise against the US dollar on Monday (November 4). After the day’s trading, it closed at Rs 84.11 per dollar.
After October 10, there is a continuous small and large fall in the rupee. Earlier on October 31, the rupee had closed at its lowest level of 84.08 per dollar. On October 10, it stood at the level of 83.9685 against the dollar. On October 17, it reached the level of 84.03 against the dollar.
This fall in rupee is due to withdrawal of stocks from Indian stock market i.e. sale of stocks and US elections. As a result, the influence of the dollar against the rupee has become stronger.
There was a drop of 941 points on the stock market Sensex today witnessed a decline of 941 points (1.18%). It closed at the level of 78,782. At the same time, Nifty also fell by 309 points (1.27%), closing at the level of 23,995.
Rupee hits lowest level even intraday The rupee touched an intraday low of 84.1225 against the dollar. According to the report, on Monday, the rupee opened at 84.1125 against the dollar and at one point during trade, it hit a low of 84.1225. Market experts believe that the rupee may hit its lowest level of 84.25 in the coming days.
Importing will be expensive The falling rupee means that importing goods will become costly for India. Apart from this, traveling and studying abroad has also become expensive. Suppose when the value of the rupee was 50 rupees against the dollar, Indian students in America could get 1 dollar for 50 rupees. Now, for 1 dollar, students will have to spend Rs 83.40. Due to this, everything from fees to accommodation, food and other things will become expensive.
How is the value of a currency determined? If the value of another currency decreases in relation to the dollar, it is called a fall, breakout or weakening of the currency. Currency depreciation in English. Every country has foreign currency reserves with which it carries out international transactions. The effect of the increase and decrease in foreign exchange reserves is visible on the price of the currency.
If the dollars in India’s foreign exchange reserves are equal to the US rupee reserves, then the value of the rupee will remain stable. If our dollar declines, the rupee will weaken; if it increases, the rupee will strengthen. This is called the floating rate system.