Sudden movement of the rupee is not a reason to panic, say currency dealers

The sudden movement of the rupee — post the monetary policy — is not a reason to panic, said currency dealers.

According to them, a correction was overdue for the rupee that remained the best performing currency in the region for well over a month.

The rupee closed at 74.72 a dollar on Friday from its previous close of 74.60. It had dropped 1.52 per cent against the dollar on April 7 after the Reserve Bank of India (RBI) announced its monetary policy, committing to buy Rs 1 trillion of bonds in the June quarter.

A weak rupee goes well with the export