Source: Reuters (via feed)
The gap between offshore swaps used to wager on India’s policy rates and those reflecting the cost of hedging against a weaker rupee is widening. This widening hints at worries about the rupee’s outlook. The Iran war threatens the net energy importer. The divergence in swap costs between policy rates and currency hedging has increased.
BizTrendWire Insight:
Offshore foreign exchange swaps show variation between policy rate wagers and currency hedging costs amid geopolitical developments.
Offshore foreign exchange swaps show variation between policy rate wagers and currency hedging costs amid geopolitical developments.
