Rupee, Won Approach `Attractive' Levels After Drop, Credit Agricole Says

India’s rupee and the South Korean won, Asia’s worst-performing currencies this quarter, are approaching “attractive levels” after accelerated declines in recent weeks, Credit Agricole Corporate and Investment Bank said.

“The impact of the European crisis” will likely remain “a major swing factor for Asian markets and currencies,” Sebastien Barbe, head of emerging-market research for Credit Agricole CIB in Hong Kong, wrote in a research note today. “However, we believe that after having strongly depreciated over the past few days, some of the Asian currencies are coming closer to levels that may be considered attractive.”

The rupee fell 3.7 percent last week, the most since 1995, to 46.9075 per dollar in Mumbai, according to data compiled by Bloomberg. The won declined 5.3 percent to 1,194.80 in the four days to May 20. Markets were closed the following day for a holiday.

To contact the reporters on this story: Anil Varma in Mumbai at avarma3@bloomberg.net.

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