PRESS TRUST OF INDIA
Mumbai, 4 August
The rupee is likely to claw its way back to 60-level compared with the US dollar this week helped by the recent measures taken by the RBI coupled with a weak dollar after US jobs data eased concerns over early withdrawal of easy money by the US Fed, say experts.
The rupee fell 67 paise on Friday to record closing low of 61.10 against the US dollar.
The previous record low closing was 60.72 on 26 June. The rupee touched an all-time intra-day low of 61.21 against the greenback on 8 July, which forced the central bank to unleash a slew of measures from 15 July.
“With non-farm payroll data in the USA coming out to be weak, the dollar will remain under pressure,” Mr Mohan Shenoi, president for group treasury at Kotak Mahindra Bank, said.
The US non-farm payroll data, which indicates the number of people on the payrolls of all non-agricultural businesses, rose by 1,62,000 in July, but is lower than analysts’ expectation of 1,84,000 and compared to 1,88,000 additions the previous month.
Lesser number of people getting new jobs indicates that the world’s largest economy is far from recovery and the Federal Reserve has to continue to support the economy for longer time.