# Indian exporters hold off dollar sales eyeing better returns, hurting rupee

> Indian exporters were holding back dollar sales after the rupee breached 83 per dollar once the Reserve Bank of India stopped defending the 82.40 level. Forward premiums fell to their lowest in more than a decade, making dollar sales less attractive. Analysts expect the rupee to weaken further to about 84.50 by year-end.

- Date: 2022-10-21 · published 2022-10-21T12:00:00.000Z
- Category: macro · region India · magnitude medium
- Page: https://feedsoft.ai/events/39417-indian-exporters-hold-off-dollar-sales-eyeing-better-returns-hurting-rupee
- Commodities: [Indian Rupee (INR per USD)](https://feedsoft.ai/c/USDINR.md)

## Why it matters

Reduced dollar supply from exporters and falling forward premiums point to continued rupee weakness, raising the dollar cost of Indian imports. This keeps pressure on USD-priced commodity purchases from India.

## Read by commodity

- USDINR: bullish ▲

## Sources

- reuters.com: https://www.reuters.com/world/india/indian-exporters-hold-off-dollar-sales-eyeing-better-returns-hurting-rupee-2022-10-21/

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.