The greenback has been hovering at this level for nearly three weeks
The US dollar was trading at Rs139.2 against the rupee when the market opened on Thursday.
The greenback has been hovering at this level for nearly three weeks, an indication that it has achieved stability after keeping buyers and sellers on their toes throughout 2018, one of the most volatile years in terms of exchange rates fluctuations.
Since hitting its all-time high of Rs140.3 in November, the dollar had been trading in a close range of Rs139 to Rs140 and showed no major fluctuations unlike rest of the year.
In the outgoing year, the dollar appreciated by Rs4 or more in one day at least on five occasions and fell by as much during intra-day trade only once. Overall, the dollar’s rate has appreciated 27% against the rupee, witnessing two of its biggest ever single day jumps in the short span of one-and-a-half months.
Market analysts say the dollar may go further up in case of a further delay in availing a loan from the International Monetary Fund to increase our dollar reserves. Prior to the recent increases, some analysts predicted it would cross Rs140 level but a few even said it might touch Rs150 by June 2019.