Hello Steemian
Today morning INR has recorded all time low of 69.09 in history.It surpassed its previous record low of 68.86 hit in November 2016.The rupee has been one of the worst performers this year among emerging market currencies.
Analyst forecast if 68.86 level is borken out then we may see sharp depreciation in the rupee in coming sessions and it may move towards 70.00 - 70.50 levels immediately.
Reasons behind INR depression
- Crude oil price: Prices of crude oil have been rising for the past several months.US recently imposed fresh sanctions on Iran and pushed other countries to stop importing crude from the Middle Eastern nation.
- Trade war b/w countries: The ongoing fight between US and China over trade is fast escalating into an all-out trade war and investors are growing more concerned about it with time.
- Performance of other Asian and emerging market currencies: Chinese yuan has fallen quite a bit against the dollar in recent times. It is currently trading at 6.62 against USD,0.2 percent weaker than its previous close, and 5.6 percent weaker than its 2018 high of 6.27, achieved in April.Rising concerns of a US-China trade war have also fuelled a sell-off in other Asian currencies.