Bearish bets on Indian rupee jump to highest in near two years – Reuters poll

The latest Reuters poll of analysts and fund managers showed Thursday, bearish bets on the Asian currencies shot up amid the Russia-Ukraine crisis-led soaring oil prices and inflation risks. The Indian rupee is seen as the most vulnerable in nearly two years.

Key findings

“Market participants turned short on the Singapore dollar and significantly extended short bets on the South Korean won, the Taiwanese dollar and the Philippine peso.”

“Net energy importers such as India are the most at risk, as oil prices threaten to exacerbate inflationary risks.”

“Bearish bets on the rupee hit their highest level since April 2020 as a result.“

“Bullish bets on the Chinese yuan, which has emerged as a regional haven during the Russia-Ukraine conflict, eased but were still largely healthy.”

“The Thai baht saw long positions cut sharply as the country's tourism sector is likely to be hit by a drop in tourists from Russia due to the conflict.”

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