Gold could shine again

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From: Buisness-standard By Devangshu Datta
Recommended by: business-standard


The rupee has fallen across the board over the past three months. It has lost ground against the dollar, the euro, the yen (JPY) and the Chinese renminbi (RMB). It has even lost value versus the pound (GBP), which is perhaps, the most surprising. The weakness has come about as a result of several trends.

A higher trade deficit has led directly to a higher current account deficit (CAD). Forex inflows have also eased off, leading to further pressure. A rise in global crude prices is partially responsible for the trade deficit but there are other factors at play as well. The trade ...

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