Rupee in Worst Streak Since August as Fed Spurs Outflow Concern
- Indian currency drops 0.6 percent Thursday, most since Feb. 11
- Rupee could go to as low as 68.50 per dollar by year-end: RBL
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India’s rupee fell for a sixth day, the longest losing run since August, amid speculation the Federal Reserve will raise interest rates as early as next month, sparking concern investors will sell emerging-market assets.
Minutes of the April 26-27 Federal Open Market Committee meeting released Wednesday in Washington showed most officials said at the gathering that a move in June would be warranted if economic data indicate stronger growth and inflation. That follows several speeches by regional Fed bank presidents warning investors not to dismiss a mid-year hike after the odds of such a move edged close to zero. Foreign holdings of rupee-denominated debt have fallen this week at the fastest pace since February.