Rupee Seen on Slippery Path as Volatility Highest: India Credit
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India’s rupee is seen swinging the most among global currencies as Westpac Banking Corp. and Credit Agricole CIB say government efforts to buoy the currency by boosting offshore borrowing are misguided.
Three-month implied volatility, a measure of expected moves in the exchange rate used to price options, jumped 649 basis points this quarter to 19.14 percent, the highest among 48 global currencies tracked by Bloomberg. The rupee has plummeted 18 percent this year in Asia’s worst performance.