India punished? Rupee under attack, crashes to record 62.03-per-$ low
18 Aug 2013 5:19 AM IST
In a clear act of collaboration with US and UK-led anti-Indian interests, a section of domestic market players launched a vicious attack on the rupee on Friday, taking it to a record low of 62.03 against the dollar, the world’s only accepted reserve currency.
In reaction to the rupee’s sharp fall, the S&P BSE Sensex crashed by 769 points, the most in four years. The 30-share Sensex opened lower at 19,297.11 from the previous close of 19,367.59, dropped to a low of 18,559.65 and closed at 18598.18, a 769.41 point drop (3.97 per cent). This was the largest point-wise fall since July 6, 2009, when the index plunged by 869.65 points. Investors were over Rs 2 lakh crore poorer as six out of 10 stocks fell on the Bombay Stock Exchange (BSE).
Similarly, the broad-based CNX Nifty of the National Stock Exchange (NSE) slumped by 234.45 points (4.08 per cent) to end at an over four-month low of 5,495.10. It also registered its largest fall in the last four years while it closed at a more than four-month low. The SX40 index too, the flagship index of the MCX-SX, closed at 11,083.52, down 428.63 points (3.72 per cent).
Many market observers, economists and corporate watchers felt that the attack on the rupee was a calculated attempt by the American-British alliance to punish India for the bold measures introduced by a determined Union government and Reserve Bank of India (RBI), our country’s central bank, to defend the nation’s currency against the concerted Western attempts to lower it.
This was the first time ever that our nation’s currency has fallen below the 62-per-dollar level. All through the day, large sections of the audio-visual media as well as cyber-media were claiming that the markets had been ‘spooked by expectations that an improving US economy would lead to a flight of foreign capital from the domestic markets’.
Both business and political analysts, however, cautioned that some of these media outlets may be working against their own country and people as collaborators of Anglo-American interests. These media houses were referring to Thursday’s development, in which US jobless claims declined to their lowest level since 2007, renewing concerns that America’s central monetary policy authority, the Federal Reserve Board (Fed), would start withdrawing its $85 billion-a-month stimulus from as early as next month.
O
n Friday, all 13 sectoral indices closed lower, with consumer durables, realty, metal, banking, capital goods leading the fall. Hero MotoCorp rose 2.4 per cent, the sole Sensex gainer. The S&P BSE CD fell 8.38 per cent, followed by S&P BSE-Realty (6.07%), S&P BSE-Metal (5.56%), S&P BSE-Bankex (5.55%), S&P SE-CG (4.98%), S&P BSE-Oil&Gas (4.79%), S&P BSE-PSU (4.67%) and S&P BSE Power (4.50%).
Meanwhile, Foreign institutional investors injected Rs 247.96 crore on August 14 as per provisional data from the stock exchanges.
In reaction to the rupee’s sharp fall, the S&P BSE Sensex crashed by 769 points, the most in four years. The 30-share Sensex opened lower at 19,297.11 from the previous close of 19,367.59, dropped to a low of 18,559.65 and closed at 18598.18, a 769.41 point drop (3.97 per cent). This was the largest point-wise fall since July 6, 2009, when the index plunged by 869.65 points. Investors were over Rs 2 lakh crore poorer as six out of 10 stocks fell on the Bombay Stock Exchange (BSE).
Similarly, the broad-based CNX Nifty of the National Stock Exchange (NSE) slumped by 234.45 points (4.08 per cent) to end at an over four-month low of 5,495.10. It also registered its largest fall in the last four years while it closed at a more than four-month low. The SX40 index too, the flagship index of the MCX-SX, closed at 11,083.52, down 428.63 points (3.72 per cent).
Many market observers, economists and corporate watchers felt that the attack on the rupee was a calculated attempt by the American-British alliance to punish India for the bold measures introduced by a determined Union government and Reserve Bank of India (RBI), our country’s central bank, to defend the nation’s currency against the concerted Western attempts to lower it.
This was the first time ever that our nation’s currency has fallen below the 62-per-dollar level. All through the day, large sections of the audio-visual media as well as cyber-media were claiming that the markets had been ‘spooked by expectations that an improving US economy would lead to a flight of foreign capital from the domestic markets’.
Both business and political analysts, however, cautioned that some of these media outlets may be working against their own country and people as collaborators of Anglo-American interests. These media houses were referring to Thursday’s development, in which US jobless claims declined to their lowest level since 2007, renewing concerns that America’s central monetary policy authority, the Federal Reserve Board (Fed), would start withdrawing its $85 billion-a-month stimulus from as early as next month.
O
n Friday, all 13 sectoral indices closed lower, with consumer durables, realty, metal, banking, capital goods leading the fall. Hero MotoCorp rose 2.4 per cent, the sole Sensex gainer. The S&P BSE CD fell 8.38 per cent, followed by S&P BSE-Realty (6.07%), S&P BSE-Metal (5.56%), S&P BSE-Bankex (5.55%), S&P SE-CG (4.98%), S&P BSE-Oil&Gas (4.79%), S&P BSE-PSU (4.67%) and S&P BSE Power (4.50%).
Meanwhile, Foreign institutional investors injected Rs 247.96 crore on August 14 as per provisional data from the stock exchanges.
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