ET:Rupee@63, may hit 65, says expert: Where the currency is headed
India Forex Advisors is of the view that the pruning of the Fed's easy-money policies was seen hitting some emerging markets hard. Now investment is flowing back to America, battering currencies in emerging markets.
The trouble began after a January survey showed a drop in Chinese manufacturing activity.
Just days earlier, China had reported that its economic growth last year matched 2012 for the slowest pace since 1999.
"In addition to this, in the US, the outlook for corporate profits has already been weakening, and the turmoil in emerging-market currencies is likely to make matters worse. US-based multinational companies posted some of the biggest declines as investors worried about overseas sales," said the India Forex Advisor report.
