ET Prime Special - Macro the mightiest: Currency movement – it is not just about the US dollar, it is much beyond it

This series is for investors who are keen to understand the nuts and bolts of an economy. How do, for instance, currency rates impact the bottom line of not only companies but even the country? The value of the rupee in the multifaceted world of currency markets is shaped by the interplay between market supply and demand and the strategic interventions of the RBI. The value of the rupee impacts trade, inflation, and corporate earnings. Fluctuations in its exchange rate dictate the success of businesses and the volatility of the stock market. In this series, Macro the Mightiest, we discuss one macroeconomic factor every fortnight. Even a basic understanding will tell you when to react and when not to react to macroeconomic headlines.