Indian rupee hits new low despite central bank moves

[AnnoyingOrange]

Indian Rupee Breaches 66 to Dollar - Wall Street Journal

Man, it is falling fast.

Just on the "statement" from the US Federal reserve that they would stop their easy-money policy.

Imagine what would happen on the day that policy actually stops!

Chinese should be scared of this situation.. because Exports from India would be getting cheaper ... and any country would like to import form the country where they get higher value of Dollar.

But this economic logic is not a part of Chinese education I guess.

 

[Chinese-Dragon]

Chinese should be scared of this situation.. because Exports from India would be getting cheaper ... and any country would like to import form the country where they get higher value of Dollar.

But this economic logic is not a part of Chinese education I guess.

A falling currency "can" help exports, especially for trade surplus nations.

But India is not a trade surplus nation. India in fact a huge net importer.

And the Chinese Yuan is currently at a record high, yet we are still the largest exporter in the world.

As for competition from India, don't make me laugh.

We'll face more competition from SE Asian nations, because they are actually cost-effective. India on the other hand is a mess of inefficiency and red-tape, you can't even handle something as simple as onions.

 

[cirr]

Chinese should be scared of this situation.. because Exports from India would be getting cheaper ... and any country would like to import form the country where they get higher value of Dollar.

But this economic logic is not a part of Chinese education I guess.

You talk as if India has got anything worth exporting。

India’s industry is zilch compared with China‘s。

India is still largely an argarian country，yet it can't grow enough a staple food like onions to feed its people。80 Rs per kilo？What's India's official poverty line？

If India can't even compete in the field of onion growing，then。。。。

 

[AnnoyingOrange]

You talk as if India has got anything worth exporting。

Are you from mars.. Net services exports up 22.5% in June quarter - Livemint

India’s industry is zilch compared with China‘s。


India is still largely an argarian country，yet it can't grow enough a staple food like onions to feed its people。80 Rs per kilo？What's India's official poverty line？

If India can't even compete in the field of onion growing，then。。。。

Typical Chinese rant... not worth responding to.

 

[conworldus]

Chinese should be scared of this situation.. because Exports from India would be getting cheaper ... and any country would like to import form the country where they get higher value of Dollar.

But this economic logic is not a part of Chinese education I guess.

No sir. If anything, export from India will get more expensive because the energy cost of imported petro will skyrocket and India depends on it. Also, lack of manufacturing infrastructure and inflation will also contribute to the cost. India is quite doomed in this case.

Are you from mars.. Net services exports up 22.5% in June quarter - Livemint




Typical Chinese rant... not worth responding to.

Maybe he ranted, but he does have a point. Onion cost being 80rs per kilo makes it more expensive than onions in the United States. This hurts the hundreds of millions of Indians living in abject poverty. This also is a reflection that India's PPP is grossly overestimated and the rupee may be very overvalued to start with.

 

[AnnoyingOrange]

No sir. If anything, export from India will get more expensive because the energy cost of imported petro will skyrocket and India depends on it. Also, lack of manufacturing infrastructure and inflation will also contribute to the cost. India is quite doomed in this case.

So according to some people India goes not manufacture anything... India's manufacturing sector PMI contracts to 50.1 in July: HSBC | Business Line

Maybe he ranted, but he does have a point. Onion cost being 80rs per kilo makes it more expensive than onions in the United States. This hurts the hundreds of millions of Indians living in abject poverty. This also is a reflection that India's PPP is grossly overestimated and the rupee may be very overvalued to start with.

You people rant about India poverty all the time... are you aware of benefit schemes run by GOI... are you aware that consumable prices are market driven... are you aware that its a function of demand and supply... are you aware that commodity prices change every week...

 

[conworldus]

So according to some people India goes not manufacture anything... India's manufacturing sector PMI contracts to 50.1 in July: HSBC | Business Line




You people rant about India poverty all the time... are you aware of benefit schemes run by GOI... are you aware that consumable prices are market driven... are you aware that its a function of demand and supply... are you aware that commodity prices change every week...

Your reply is a little mind boggling. I don't see how it counters my points at all. Your PMI is contracting means your low manufacturing base is slowing down. That says a lot about the effect of the falling rupee.

On poverty I think you are being a bit too sensitive. Prices being market driven doesn't counter my assessment that the Indian PPP is overestimated. At 80rs per kilo for onion, it is obvious that rupee's actual purchasing power is quite low, hence the overvalue.

 

[Vinod2070]

Looks like the rupee going low has given a high to some jobless folks.

 

[Vinod2070]

A falling currency "can" help exports, especially for trade surplus nations.

But India is not a trade surplus nation. India in fact a huge net importer.

And the Chinese Yuan is currently at a record high, yet we are still the largest exporter in the world.

As for competition from India, don't make me laugh.

We'll face more competition from SE Asian nations, because they are actually cost-effective. India on the other hand is a mess of inefficiency and red-tape, you can't even handle something as simple as onions.

You are quite wrong.

 

[Chinese-Dragon]

You are quite wrong.

Your compatriot AnnoyingOrange said that "China should be scared" of India's exports now with the falling Rupee. And then hilariously he started whining about Chinese education.

Seriously? You're telling us that we should be worried about competition from India, while our exports and imports and manufacturing are all soaring at the moment?

BBC News - Chinese exports and imports rise more than expected

If anything, the recent collapse in the Rupee coincides nicely with the surge in Chinese exports/imports and manufacturing.

Tell me, in which areas does China have to be afraid of Indian exports? Heavy machinery? Consumer electronics?

SE Asian nations are a much more credible competitive threat. They have decent infrastructure and supply chains.

 

[by78]

Chinese should be scared of this situation.. because Exports from India would be getting cheaper ... and any country would like to import form the country where they get higher value of Dollar.

But this economic logic is not a part of Chinese education I guess.

The Chinese should be very happy if Indian exports become cheaper. The Chinese will pay far less for the raw materials they import from India. By the way, Indian exports to China are mostly raw materials.

 

[shuttler]

Rupee drops to another new low @66.3 to the dollar!

 

[cirr]

Rupee drops to another new low @66.3 to the dollar!

you mean 68.3？

 

[Star Wars]

Looks like the rupee going low has given a high to some jobless folks.

think they are getting a bonus with the 50cents...

 

[Enemy]

you mean 68.3？

No, its Rs 68.50 = 1 Dollar

Rupee plunges further, sinks past 68.50 Vs dollar