Indian Rupee Hits All Time Low At 68.91 Against US Dollar

| June 28 , 2018 , 11:50 IST

The Indian Rupee on Thursday hit an all-time low of 68.91/ US dollar.

Rising crude prices, a trade war between US and China, widening of fiscal deficit and inflation situation because of high oil prices are reasons for rupee hitting its all-time low.

The constant demand for US dollar from banks and oil refinery importers is also considered to be one of the reasons to cause Indian rupee under stress.

Away from currency war, India does not have much of an option but to depreciate to accommodate its exports at a time when China shows its intent to let its currency depreciate.

The US Federal Reserve rates hikes are in processing that will give strength to dollar and trade war-related development and changes can put pressure on Indian Rupee for a future course.

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As per currency dealers speculations, the Indian rupee could hit 70 a dollar by the month of August as Reserve Bank of India (RBI) is not coming with initiatives to support the Indian currency. Relatively, the rupee has depreciated marginally against its trading partners and this lack of support will make the rupee uncompetitive.

If Indian rupee could hit 70 then it will create an alarming situation for many Indian companies, say experts.