Gold funds have returned -5.2 per cent, while the Sensex is down 7 per cent in the past year.
A government can't just take away public money, and the RBI can't extinguish its liability. 'The RBI has to honour the value any time a person with legal and taxed money lays claim on the value.'
The Fed's decision on tapering its monthly $85 billion bond-buying programme is expected later on Wednesday.
The rupee's strength has had an overall negative effect on merchandise trade
'We don't know how much the Pay Commission outflow will be.'
The derivatives expiry on Thursday is also expected to add to the volatility.
Traders say the rupee and other global currencies will likely track the continued uncertainty in the US budget stalemate and government shutdown.
Exchanges believe its legal status may now change, with the government pushing for digitised transactions.
The dollar's weakness against some currencies overseas limited the rupee's fall.
The measures to reduce the current account deficit should have focused far more on narrowing the trade imbalance, principally through export facilitation and linked FDI, says Nitin Desai.
Most markets have seen significant erosion in investors' wealth this year
Invest in stocks of export-oriented and capital-intensive companies, says Devangshu Datta.
The dollar-rupee rate could move in the opposite direction if dollar policy rates rise and the FPIs sell in December, says Devangshu Datta.
RBI might not cut rate on June 2 but will surely cut soon.
The rupee fell sharply by 32 paise at 66.37 against the US dollar in early trade on Tuesday.
According to the data available on the Reserve Bank of India's website, net workers' remittances in April-June 2018 were $11.5 billion
The NSE Nifty settled at 10,234.65, down 225.45 points, or 2.16 per cent.
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