Continuing from the last post, let’s see how the price of rupee is determined vis a vis dollar. The market determines the price of a currency vis-à-vis another based on its demand and supply.  Some countries that permit exchange rate to be determined by the market do not impose any restriction on the amount… Read More Fall of the Rupee – Part II

. The Indian rupee continues with its free fall against dollar having fallen up to 18% in Dec 2011 from its year’s high in July 2011. Rupee has been Asia’s worst performing currency this year. The depreciation of rupee against dollar means that now it takes more rupees to buy a dollar; thus indicative of… Read More Fall of the Rupee