Global Funds Cut Rupee Targets to 97.5 and 95.5 as Oil Shock Revives 100-Dollar Risk
Updated
Updated · The Economic Times · May 20
Global Funds Cut Rupee Targets to 97.5 and 95.5 as Oil Shock Revives 100-Dollar Risk
5 articles · Updated · The Economic Times · May 20
ANZ now sees the rupee at 97.5 by year-end and HSBC at 95.5, adding to investor concern that the currency could test the 100-per-dollar threshold.
Oil prices tied to the Middle East conflict have intensified pressure already building from India's wider external balances and foreign fund outflows, making the rupee more vulnerable to another sharp leg down.
Foreign investors have bought just $1.3 billion of index-eligible Indian debt in 2026 while pulling a record $23 billion from stocks, raising the risk that currency losses wipe out local-market returns.
Aberdeen and Gamma remain underweight the rupee, and Neuberger Berman is not adding positions, though Amundi argues battered Asian currencies could still rebound.
The Reserve Bank of India says it aims to smooth volatility rather than defend a level, but investors are watching whether a rapid slide toward 100 would force heavier intervention.
With global investors betting against the rupee, can India’s emergency energy strategy avert a full-blown economic crisis?
The US-Iran stalemate is pushing oil past $120. Is this the shock that finally forces a global shift from fossil fuels?
As China mediates the US-Iran crisis, will its diplomacy reshape Middle Eastern power and secure Asia's energy future?