India’s rupee declined for a third day, the longest losing streak in May, on speculation importers boosted dollar purchases to pay month-end bills.
The rupee gained 2.4 percent in May, the best performance in Asia, on optimism the clearest election verdict in 30 years will allow policy makers to step up efforts to spur economic growth. The Bharatiya Janata Party won 282 of 543 parliamentary seats, more than the 272 needed to form a government on its own, according to results published May 16. That’s the first single-party majority since 1984.
“There is month-end dollar buying from importers, which is pressuring the rupee,” said Vikas Babu, a currency trader with Andhra Bank in Mumbai. “It also declined due to lack of dollar inflows as the U.S. markets were shut yesterday for a holiday.”
Content is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Business Information & Services, Inc. or any of its affiliates, subsidiaries, officers or directors. If you would like to reproduce or redistribute any of the content found on MarketPulse, an award winning forex, commodities and global indices analysis and news site service produced by OANDA Business Information & Services, Inc., please access the RSS feed or contact us at info@marketpulse.com. Visit https://www.marketpulse.com/ to find out more about the beat of the global markets. © 2023 OANDA Business Information & Services Inc.
Latest posts by marketpulsefxstaff (see all)
- Oil Remains Near Multi-Month Lows - 6 August 2015
- U.S. Dollar Higher on Recent Data - 6 August 2015
- Greece’s PM Tsipras: Loan Deal with Lenders Close - 6 August 2015