The Indian Rupee has hit a record low, with the value of the currency of the most populous country reaching 84.19 against a single United States Dollar.
The Tectonic Shift
This development has come to pass 24 hours after the end of the historic 2024 US elections
The US 2024 election concluded with the victory and the much-discussed return of the Republican Party's Donald J. Trump. This meant a defeat of the incumbent vice president, Kamala Harris. The fallout of this result has been political and economic in nature. The US markets rocketed in the pre-market and jumped further in the regular trading session.
Indian Rupee Dips in Value
In addition to the equity markets, the US currency, the US Dollar, rose in its value, breaking recent records in the process. The ripple effect of strengthening the dollar naturally has an impact on other weaker currencies, including the Indian Rupee.
The Indian Rupee hit a record low on November 7, as the exchange value of one US Dollar amounted to 84.29 Indian Rupees.
The US Dollar is also the world's reserve currency.
This development comes after the euphoria that covered the Indian markets, including the equity markets, that galloped into greener territories, reacting positively to the return of Donald Trump to the Oval Office.
The Rising Dollar
Interestingly, the rise in strength or value of the US Dollar flies in the face of one of Trump's much-scrutinised economic plans to rebalance the economy. Trump's campaign speeches and other communiques often underscored his intentions of bringing the value of the dollar down in order to boost the country's exports, making it more competitive.
This, according to his team, would also result in encouraging domestic and indigenous manufacturing within the United States territory.
The US Dollar currently stands at 0.9310 against the Euro. In addition, the US Dollar stood at 0.773 against the British Pound and Sterling.
