All seminal technologies carry potential threats, even more so in the new age of ‘winner takes all’, as we have…
The steadily falling USD-INR forward premiums have severely tested export hedging strategies, with most companies cutting back on hedges hoping…
Freedom, not licence Premium Story
Supervisory reviews have shown that some banking entities use the “operational autonomy” granted by the RBI as a licence to…
The dollar’s chokehold on finance Premium Story
The dollar index could certainly bounce back from the current level, But It would need to pick up a real…
The shoes have started to drop—SVB, Signature Bank, Credit Suisse—and nobody knows how many more are to come. In the…
One needs to stay unhedged for a reasonable amount of time to be able to capture value in this kind…
While there is no magic wand against currency risks, there is a process that uses a combination of three different…
Financial regulators, supposedly imbued with the most detailed knowledge of markets, have, certainly since the 1980s, failed to show the…
Not a global currency yet, but… Premium Story
The rupee will wobble under global pressures, but RBI will continue to hold the line. The central bank probably recognises…
With volatility up and premiums down (and sliding), the intuitive response is to shorten the hedging tenor—indeed, some exporters may…
A paradigm shift for the rupee? Premium Story
Despite the difficult current account situation, the rupee could be turning around for more than just a few months, with…
Is the rupee decline ending? Premium Story
The rupee does march more to its own tune, but the off-dollar forces continue to appear positive for it.
Even if US rates continue to climb—say, towards and, perhaps, beyond 4.5% or 5%—it is no guarantee that the dollar…
While things will certainly remain difficult, the market trauma won’t be as bad. Back in 2008, the entire financial system…
Buyer beware! Premium Story
Treasury corporate desks are trained to maximise revenue; banks overcharging customers is nothing new. The Reserve Bank has long been…
The battle for 80 is joined Premium Story
We can remain assured that RBI will remain fully engaged in the battle, and be willing to spend another $20…
Many analysts believe that the Fed may not have to raise rates too much since the recession that is triggered…
Another point on the reserves is that they comprise FCA plus about $40 billion of gold, about $18 billion of…
