Real story of American Dollar v/s Indian Rupee

[Umair Nawaz]

Sweet - So, If you don't use cars at all than INR will become stronger than US$

these indians should start riding elephant again........Cars just dont suit them.

Words like 'back to glory' will be pronounced in India as 'back to Elephant ride'.

 

[Chinese-Dragon]

More like weaseling.

Yes you always do resort to weaseling Developereo.

Your link clearly did not answer my question in any way. Just BS as usual.

Iran is willing to take rupees, which is all that matters. Arguing over what is 'happiness' is for philosophers.

Also, you fail to understand how barter agreements work. The ongoing value of the INR is irrelevant. The market price for a barrel of oil is listed in USD, regardless of what the customer actually pays.

I can agree to sell you 5 USD's worth of oil, and you pay me in INR (or rice or iron ore) at the prevailing rate when the transaction occurs.

My point was preference obviously, which is why my question used the phrase "happy to" in the first place.

Why even respond to my post if you refuse to answer the basic question?

Given a CHOICE, which oil exporting country would be happy to be paid in Rupees instead of USD?

The Rupee is in a free-fall right now. (Right now btw, not a month ago).

Iran has no other choice, as pointed out in the first line of the article that you posted.

 

[Developereo]

My point was preference obviously, which is why my question used the phrase "happy to" in the first place.

So you wanted to debate philosophy instead of economics or reality?

My bad. I should have known.

 

[Chinese-Dragon]

So you wanted to debate philosophy instead of economics or reality.

My bad. I should have known.

Why even bother responding to my post, if you aren't even going to answer the question?

Weaseling in action again.

Whenever you are finally ready to answer the question that you responded to in the first place, just read my original post once more and stop evading:

And what oil exporting country would be happy to take Rupees instead of US dollars right now?

Even the Indians themselves don't trust the Rupee, they would rather have Gold.

Considering that the Rupee is currently in a state of collapse, this is the worst time for a currency swap agreement. I mean who on Earth would want Rupees instead of US dollars at this point?

The last line alone should make it clear that I'm talking about preference, even if you didn't get that from the first line, second line, and third line. And the fourth (last) line.

 

[Anubis]

And what oil exporting country would be happy to take Rupees instead of US dollars right now?

Even the Indians themselves don't trust the Rupee, they would rather have Gold.

Considering that the Rupee is currently in a state of collapse, this is the worst time for a currency swap agreement. I mean who on Earth would want Rupees instead of US dollars at this point?

They can get oil from Iran in exchange for weapons!

 

[Developereo]

Why even bother responding to my post, if you aren't even going to answer the question?

Weaseling in action again.

Whenever you are finally ready to answer the question that you responded to in the first place, just read my original post once more and stop evading:



The last line alone should make it clear that I'm talking about preference, even if you didn't get that from the first line, second line, and third line. And the fourth (last) line.

More like you are clutching at straws when your statement ended up with egg on your face, so you switched to a philosophical discussion about 'happiness'.

Understandable, given your (lack of) grasp of basic economics like how international oil trading works.

Here, let me give you a little more detail on how things work (dated Aug 15):

http://ftmdaily.com/economic-crisis...e-oil-imports-from-iran-despite-u-s-pressure/

This week, energy-starved India appeared eager to increase its oil imports from the country after Iran agreed to accept India’s currency, the rupee, as payment. Because the Indian rupee is not a widespread currency, Iran will likely use the rupees to purchase imports from India.

 

[Echo_419]

The funny thing is that Manmohan Singh is a highly intelligent economist, so he obviously knows what is the "right" thing to do for the long term health of the Indian economy.

But there is a big difference between knowing the right thing to do, and having the political will to do it.

Get the Indian government to stop chaining Manmohan Singh's hands with political games, and give him a full mandate to fix India's economy with structural reforms, without worrying about vote banks or the coming election. Then he can fix it.

You think it is a walk in the park or something
The Prime Minister is a very good man better Economist but this Congress party has tied his hands
Only hope now is 2014 General Elections & a BJP with Narendra Modi winning the General Elections
All hope is now for 2014 at least mine
But i will be very glad if i am proven wrong

 

[Imran Khan]

i have no tension of rupee as i have no rupee in pocket .

 

[Chinese-Dragon]

More like you are clutching at straws when your statement ended up with egg on your face, so you switched to a philosophical discussion about 'happiness'.

Understandable, given your (lack of) grasp of basic economics like how international oil trading works.

So you still refuse to answer the question?

Why did you even bother responding to my post if you refuse to answer the question?

I mean who on Earth would want Rupees instead of US dollars at this point?

Is it you Developereo? Do you have faith in the currency of your homeland, Gujarati?

 

[Chinese-Dragon]

Here, let me give you a little more detail on how things work (dated Aug 15):

http://ftmdaily.com/economic-crisis...e-oil-imports-from-iran-despite-u-s-pressure/

This week, energy-starved India appeared eager to increase its oil imports from the country after Iran agreed to accept India’s currency, the rupee, as payment. Because the Indian rupee is not a widespread currency, Iran will likely use the rupees to purchase imports from India.

So not only do they get a handful of Rupees which are plummeting in value as we speak...

The only useful thing they can do with those Rupees, is to buy "Indian imports".

Man, you have sold me. I'm going to start converting into Rupees.

I want to be like Ambani who just lost 24% of his net worth in the recent Rupee and stock market collapse.

 

[Developereo]

So you still refuse to answer the question?

I will let the readers judge for themselves.

Is it you Developereo? Do you have faith in the currency of your homeland, Gujarati?

My homeland is Karachi, not Gujarat.

I speak the language, just as I speak English and French. Doesn't make England or France my "homeland".

 

[Chinese-Dragon]

I will let the readers judge for themselves.



My homeland is Karachi, not Gujarat.

I speak the language, just as I speak English and French. Doesn't make England or France my "homeland".

OK then, "ancestral land". Land in this case referring to country.

Which in Chinese means motherland (祖&#22269 and homeland. Literally "Ancestor country".

I'll be sure to remember your preferred distinction from now on.

 

[MM_Haider]

the whole chaos in the world is because of Petro Dollar.. World must agree to use Euros instead of Dollar..

 

[Chinese-Dragon]

Hey, what do you know, even in English the word motherland can also mean "the land/country of one's ancestors".

http://www.thefreedictionary.com/_/dict.aspx?rd=1&word=motherland

moth·er·land (mr-lnd)
n.
1. One's native land.
2. The land of one's ancestors.
3. A country considered as the origin of something

 

[xyxmt]

An Advice to all who are worrying about fall of Indian Rupee

Throughout the country please stop using cars except for emergency for only seven days (Just 7 days)
Definitely Dollar rate will come down. This is true. The value to dollar is given by petrol only.This is called Derivative Trading. America has stopped valuing its Dollar with Gold 70 years ago.

Americans understood that Petrol is equally valuable as Gold so they made Agreement with all the Middle East countries to sell petrol in Dollars only. That is why Americans print their Dollar as legal tender for debts. This mean if you don't like their American Dollar and go to their Governor and ask for repayment in form of Gold,as in India they won't give you Gold.

You observe Indian Rupee, " I promise to pay the bearer..." is clearly printed along with the signature of Reserve Bank Governor. This mean, if you don't like Indian Rupee and ask for repayment,Reserve Bank of India will pay you back an equal value of gold.(Actually there may be minor differences in the Transaction dealing rules, but for easy comprehension I am explaining this)

Let us see an example. Indian petroleum minister goes to Middle East country to purchase petrol, the Middle East petrol bunk people will say that liter petrol is one Dollar.
But Indians won't have dollars. They have Indian Rupees. So what to do now? So That Indian Minister will ask America to give Dollars. American Federal Reserve will give us dollars by taking Indian Rupees ( according to exchange rate ) , print Dollars on it and give it to the Indian Minister. Like this we get dollars , pay it to petrol bunks and buy petrol.

But there is a something wrong here. If you change your mind and want to give back the Dollars to America we can't demand them to pay Gold in return for the Dollars. They will say " Have we promised to return something back to you? Haven't you checked the Dollar ? We clearly printed on the Dollar that it is Debt"
So, Americans don't need any Gold with them to print Dollars.

But what will Americans give to the Middle East countries for selling petrol in Dollars only?

Middle East kings pay rent to America for protecting their kings and heirs. Similarly they are still paying back the Debt to America for constructing Roads and Buildings in their countries.

At present the problem of India is the result of buying those American Dollars. So if we reduce the consumption of petrol and cars, Dollar will come down

The Above Details have been provided originally in Telugu Language by Madhava Turumella and were translated to English by Radhika Gr. - See more at: Real story of American Dollar v/s Indian Rupee

you dont buy dollars in exchange of Indian rupee, what will fed do with your indian rupee??
you earn dollars by selling your goods in exchange of dollars and then you pay in dollars what you buy from other countries including petro. so if you are buying more than selling your currency will reduce in value via-a-vis dollars