Rupee strengthens against Dollar!!

Nice one Sarika.. Your thoughts are great too..

Thanks for referral Sarika singh,
In earlier days, World currency was based on GOLD. So their value was calculated in terms of gold. But now , the value is based on Floating / Pegged market. Here, the Demand(export) & Supply(Imports) decides the value of money. Rupees going up means, in simple term, our exports increases. The demand for rupees increases (& say $ decrease).

Worth thinking...

Forex dealers said steady capital inflows and a higher opening in the stock market continued to keep the rupee sentiment firm.This apart,the Indian economy is showing up.But this is not a news for celebration as it may affect our export due stiff competition by our neighbor.
Thanks,Sarika for good news.
 

good news , thanks ma'am

Basically, Rupee strengthens due to loss of value of Dollar.
Anyway, there is something to cheer for today.
Thanks for referral, Sarika.

Value of dollar will further depreciates as Sovereign rating of USA may be down graded from triple A . It is right time to look for alternative of US dollar for global trade.

India and its economy is coming to my mind when i started reading the article u have posted.First of all let us not talk about Rupee gaining. On the contrary Dollar had lost its value if my memory is green during American Invasion on IRAQ. The IRAQ war has not just happened and it was a deliberate attempt by America not for oil but to make Iraqis to accept Dollar in the place of EURO. The fear of Dollar losing its momentum against Rupee is a welcome sign from the economic policies point of view. And at the same time what happens if it takes a reverse gear the impact on India will b very minimum because our policies with the Developed and as well as with the Under Developed ones are well balanced. The Best Example is the recent Depression.  We are safe and even secured and we are now in a position to face any eventualities or catastrophic such as The Great Depression of 1930 threatens once again.   

It will further strengthen up once the crude price goes down to its normal level. 

Good news for Indians and sad news for NRI's.

The rupiya (said to be the first rupee)  was the silver coin issued at the time of Sher Shah Suri (http://en.wikipedia.org/wiki/Rupiya), and as such I expect it must have been a strong currency for exchange. With reference to the dollar, it has become a worldwide currency after WWII. 

The players in the currency market, such as the Chinese (who have bought a lot of dollars  and created dollar reserves), determine the exchange rate.

nice thought sarikaji...

Even it happens, it will be a financially disastrous one at this moment.  Our Forex reserves are nearly 3 lakh millions valued in terms of dollars.  Strengthening of rupee against dollar means to that extent dollar lost its value against rupee. This implies that the value of our foreign reserves comes down.  Our Industrial houses who are engaged in international business do calculate their reserves in dollars.  If rupee strengthened against dollar, the value of their reserves deplete.  They dont want it to happen.  This is what the position of rupee against dollar.  This is not a good news for our industrial houses and even for the Govt.  How funny it is.  We want our own currency to trade lower against dollar.

Hi Sarika . that is a nice thought.
I wish somebody in economics will give more light to this so that we all will know how it happens .
but I think we are in the basket with Gulf countries and with our oil imports our rupee is going to be weaker with dollar . coz the dollar to gulf currenct ratio is a constant