Rate hike fears, sell off: 5 reasons why the rupee hit 68 levels today



Rupee crossed the 68 mark against the US dollar in trade on Friday, as comments by the US Federal reserve chair, Janet Yellen, raised concerns regarding a possible hike in interest rates in December policy review.

Analysts at ICICI Securities expect the rupee to hit 68.1 levels going ahead. In a note, they recommended buying USD/INR November Futures contract on the National Stock Exchange (NSE) in the range of 67.55 – 67.65 for a target of 67.9 – 68.1 with a stop loss placed at 67.45.

Related Story: Fed Rate Hike Worries Weigh On Markets; Rupee Hits 68/$

Here are five reasons that pushed the rupee to 68 levels:

  • Possible rate hike by the US Federal Reserve
  • Strong US economic data:
  • Sell-off by foreign investors
  • Fund Outflows
  • US bond yields


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