Rupee declines against $$ crossed Rs 42 against one $

In Pakistan one dollar worth 68 to 69 Rupees now, WOOHO! ( But It's not good for Pakistan economy )

- Imran

 

Inflation rate in India is quite high. That may have something to do with the rate.

 

Actually it is High Oil Prices ..... we have fixed oil prices not changed from past 6 months(thanks to election next year and left coalition govt) ...... Govt deficit is increasing on higher subsidy it pays by issuing bond to Oil companies.
Higher deficit means increased lending and reduced rating of Rupee!

 

It's 42.5 over at http://www.x-rates.com. I believe that the rate needs to be 45+ or it will kill the outsourcing industry. The inflation rate may cause the rate to touch 50

 

43 to 44 is the likely thing

anything above tht would be a suprise

 

I doubt that .... as soon as it comes near 45 mark RBI(Reserve Bank) will start interfering by pumping $ from reserves or buying extra rupee liquidity!

 

Inflation is running 6% in India and 8% for wholesale prices.

Quite the opposite. The RBI is soaking up the excess dollars to stop the rupee from appreciating.