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Why is Rupee falling against US Dollar?

1797 ratings | 349243 views
"Why does dollar price go up and down?". He explained me the reason. I am going to simplify same explaination here. Lets assume there are only two international traders between India and US. - Mr Patel in Mumbai who supplies Diamond Jewelry to a store in New York. - Mr. Brown in Chicago who supplies Industrial Robots in Noida. Assume dollar price today is 45 rupees. Today Patel sold 10 piece Jewelry set to NY store, cost of each piece was 1000 dollars. Total selling amount = 10,000 dollars. Now Patel wants to convert 10,000 dollars to Rupees. If rate is 45 rupees to 1 US dollar. After conversion Patel should get 4.5 Lakh rupees. Same evening Mr. Brown from Chicago, sells one industrial robot in Noida for Rs. 2.25 lakhs. As per 45 rupees to dollar rate, Brown is expecting to convert Rs. 2.25 lakhs to 5000 US dollars. So we have -- 10,000 US dollars to be converted to rupees. [After conversion worth Rs. 4.5 Lakhs] -- Rs. 2.25 Lakhs to be converted to dollars [After conversion worth 5000 US dollars] We have a problem. Demand for Rupees is more than that for dollars. In other words for this particular trading day, there seems to be more supply of dollars than that of rupees. Patel and Brown log to Foreign Exchange website to convert their currency. First 5000 dollars gets exchanged easily. And the rate is Rs. 45 to 1 US dollars. Brown is happy he got his 2.25 lakhs converted to 5000 US dollars, he logs out of website and goes home. Patel still has more 5000 US dollars to convert in to Rupees. He got some money on credit from a friend and promised to return him on time with small interest fee. Patel also wants to pay salary to karigar (people on manufacturing floor) who manufactured jewelry for him. Patel is now desperate to convert remaining 5000 dollars to rupees. Lets add one more character in to story now. Mr Desai who runs a Travel Agency and organises tours to countries like UK, USA, Asia etc. He logs to website and sees someone waiting to exchange 5000 US dollars to rupees. Desai knows that he will need US dollars sometime next month and was looking to buy some at good price. He offers a bargain. Last price for dollar was 45 rupees, but if someone sells dollars for 43 rupees, I will buy it. Patel being in rush, agrees to sell dollars for lower price. Patel converts remaining 5000 US dollars at rate of 43 rupees. 5000 x 43 = 2.15 lakhs. Patel doesn't mind loosing small amount because he will able to make payments on time. Now latest Exchange rate is: Rs. 43 to 1 US dollar. After few weeks , Desai (Travel agent) gets a big contract to organise tour for a group of 100 people. He needs lot of dollars, he logs in to website and sees Patel ready to sell 10,000 dollars for 47 rupees. Desai desperately needs dollars, he buys it. Now excahnge rate is: Rs. 47 to 1 US dollar.
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Text Comments (372)
RS THE ASIF (1 day ago)
now you pay 70 rupee per dollar
Shahid Akhtar (2 days ago)
What rubbish
deepak dhanik (4 days ago)
You should make more educational vedios
Anu Jith (11 days ago)
Worst video.. What u meant by the example ???
vijay kumar (17 days ago)
sohel MAHEDAVI (1 month ago)
Sir I have loss 10000 rs in currency exchange. Sir do u have solution about that
Anil Harale (1 month ago)
Watching 28 June 2018. $1=68.98INR
Bharat Suradkar (1 month ago)
Come on point .don't tell about nonsense things
SANJAY B CHANDA SANJU (2 months ago)
Super bro ty
Thakur Gift Centre (2 months ago)
Fuddu lecture....
gulshan kumar singh (3 months ago)
bhai agar 1$=1Rs then mahangai bdti hai ...to same condition apply on america then what happens
neeraj sharma (6 months ago)
Bhaii bat to clear h.. But rate me 55h jo vo uniform kaise rheta h... Means sbhi log usi par exchange krne pe ready kaise ho jaate h
Rahul kushwaha (7 months ago)
Please make video in 50 percent in hindi and 50 percent in English in mixture ok bro
Shubham singh Rajput (8 months ago)
Kyu chutiya Bana raha Hai be?
basu pujari (10 months ago)
Nice explanation thank u
ScrapGoldExpert (10 months ago)
Reality is that the US dollar is just about but not quite as strong as wet toilet paper. Same as your fiat but likely even worse.
sumit sinha (11 months ago)
speak in ur language..
Yogendra Parmar (11 months ago)
prasannajit mishra (11 months ago)
Thanks brother.Pura samajh gaya.
pathan rahil (1 year ago)
Don't understand what john and nitin plz explain in Hindi
AMBREEN ARIF (1 year ago)
Explanation is really effective thank you
Rishabh jain (1 year ago)
complicated..!!!! keep it simple...
Saikiran Saikiran (1 year ago)
And what is the value in 2017
Atul Thakur (1 year ago)
Hindi bone me koi problem h key ?
Praveen Bonthu (1 year ago)
Thank you bro.
Amit Saxena (1 year ago)
main reason is pertol iraq was giving petrol to india in Rs but US interfered and destroyed iraq and forcefully selling petrol in $
suraj ghosh (1 year ago)
suraj ghosh (1 year ago)
hutiya video.banned him from youtubr
Abdul Aleem (1 year ago)
ye angrez ki aulad hai hindi me explain nahi kar sakta kya
Engg Php (1 year ago)
$ spelling is wrong..
Ankit Shaw (1 year ago)
Sagar Patel (1 year ago)
thanks for spreading knowledge
Sagar Patel (1 year ago)
outstanding , but it would the best with graphic and animations
Neeshu Jain (1 year ago)
demand $ k badaney k pichey multinational brands ka Sabse bada hath hai ....jaise coke yearly 7-10k crore ka profit India se baahar lejata hai..or usko payment $mein chahiey na k Indian currency mein...aise he tabaco ki company hai ek ..vo ab tak 3lakh crore ka profit bna kar India se baahar lejaa chuki hai in $... similarly 7000 multinational companies hai India mein jo Lakho crore ka profit Indian economy se nikalkar baahar lejati hai.... or ham Indians Jane anjaney in companies ka maal kharid kar apney he desh Ko angrezo Ko bech Rahe hai...because aise 10 saal approx or chalta Raha to apni economy collapse kar jaegi...kyuki apni sarkaar ko udhar Lena padta hai in *** se...apna Desh chalaney k ley kyuki inko companies Ko bhaganey ka dum to hai nai gov k paas ...rules aise he bananey hai baahar k desho ne Karz dete waqt India Ko...that u can't stop us to sell in India..ham Janta k paas he bas yeh power hai k Swadeshi apnao or in angrezi companies ki maa ***
Neeshu Jain (1 year ago)
Swadeshi brand apnao bas...yahi Funda hai angrejo ki maa **** ka..
Adarsh Bansod (1 year ago)
teri ma ka chut lavdw hindi nai aati lya
Prasad Bongale (1 year ago)
You took a simple example to explain n its good. But for more explanation you need to practice more and come with some more examples thanks
Roshan Tagade (1 year ago)
very confusing/useless video
chetan sharma (1 year ago)
couldnt exp good
칼바람 (1 year ago)
Once you stop importing you don't need dollars to buy or sell. Simple funda is, country's economy is weak that's why it fluctuates. Look at Dubai or Saudi, their currency never goes up or down which helps in stable business.
Knisk pal (1 year ago)
acha hai
ash sharma (1 year ago)
irritate ku hai bhai khush hokr bta zbrdsti krwa rha hai kya koi
Gulzar c (1 year ago)
Sukanya Gupta (1 year ago)
Background me पंखा kyu chala lete ho yar... Sound Clarity chali jati he.. But nicely explained.. Good job
Silent Titan (1 year ago)
Thank you very much :)
Anup Jani (1 year ago)
Great explanation mate! Thumbs up.
PES18 GOALS (1 year ago)
now 1$ = ₹68
Mj Jm (1 year ago)
Nice and Simple
Danny Abraham (1 year ago)
Yo Im from Britian originallyand indian been here all my life it would be great to see a video aboutt the british pound
Subhash Upreti (1 year ago)
Little confuse please exlain ones again John nitin and deshi
Subhash Upreti (1 year ago)
The dollar that had been send to chichagoo would be puurchased by india if need to import good in high rate. If demanded by
Subhash Upreti (1 year ago)
Jon is in chicghago And nitin is in noida So nitin will exchange dollar in rss to pay wage .
Anwar Nayani (1 year ago)
Your Government don't have any ethics no buddy trust Indian rupees .....?..?
sukhbir singh (1 year ago)
Good explanation but If Nitin is representing India and John as US then who is this travel agent??
Somnath Rajput (1 year ago)
chutiya! simple cheez ko complicate kar raha h
Mohd. Faiz (1 year ago)
After 5 years 2 days of uploading this video dollar is almost 69.
Ri so pia (1 year ago)
Spiritual Monk (1 year ago)
fuck his explanation, what if take some other values and some other numericals apart from what he has taken. just for exchanging his 2.5L to john the company has to give him $5000 so dollar rate is equal to ₹50 fuck that explanation. Lol that is not true . guys go for other video .
Om Damahe (1 year ago)
thanx for explaining
R Kumar (1 year ago)
nicely explained... Keep it up.
bubu giri (1 year ago)
its kind of film like happy new year.salo itna bokte kiun ho be.last do minutes hi thik he.
Viplav kumar singh (1 year ago)
Thank you very much
To make rupee strong stop imports and make everything in india
Sahaj Shetty (1 year ago)
Mallikarjuna Vallabhaneni this is not applicable to the Indian market sir a weak currency favours India, as we are a nation dependent mostly on exports hence it helps us to capitalise markets as we can offer goods at a cheaper price as compared to nations with stronger currencies.
Abhishek Chouhan (1 year ago)
what are you trying to express. please work hard.
Skull Reaper (1 year ago)
Today it is 67
ANURAJ GUPTA (1 year ago)
Good One
Tosif khorajia (1 year ago)
Hindi mein bolna chahye tha.take sab samajh sake
Gaurav Joshi (1 year ago)
now India buys every thing in rupees in international market gold too
Sanjay Dahiya (1 year ago)
The main point is "Investment in Dollar" not good. Because you put your money weak when you purchase Dollar against Rupees.
Nadeer Farah (1 year ago)
India rupee ARE SHIT currncey T
shimoga don (1 year ago)
convinced thank u
it is me (1 year ago)
time waste and confused .I think this is wrong .
Allan Kaul (1 year ago)
kanagasabai srinivasan think again XD
atheistbanerjee008 (1 year ago)
not clear....
very best best explanations
Navin Singh (1 year ago)
jab bhi economic baat hoti hai to sale English kahe pelne lagte ho .....hindi bolne me izzat ghatati hai ...tumhari ..?
Hitesh Shakya (7 months ago)
Aati hai lekin currency ki haramkhori har aam insaan ko samajhna bahut jaruri hai gulami se bachne ke liye. Isliye Hindi mein samjhana bahut important hai.
Viplav kumar singh (1 year ago)
Kyu english samajh nhi aati hai kya??
ROOPESH NAIR (1 year ago)
Very Bad Video ..Its not that simple as explained in a 6 Mins Video
Viren de Sá (1 year ago)
sorry but am confused and bored.... lost me with the repetition of sentences!
Shailendra Chabukswar (1 year ago)
Very nice explanation with simple example to understand.. thanks
Karthik N (1 year ago)
ur a pumpkin filay
Sanjay Yajnas (2 years ago)
dimagka paau-vaaji bana diya yar... :( :(
Sarfoo93 (1 year ago)
ni samjha yar
Anirban Sanyal (1 year ago)
Amiya Hati (2 years ago)
The hell man..... you did not explained anything clearly. You are making it more complex to understand.
Abdul Rub (2 years ago)
thank u
shreenath shinde (2 years ago)
now its 70
Vishal Chokkala (2 years ago)
its an alright explanation to a complete layman in markets like me. Thanks bro! and fuck all those negative comments, why don't you explain us why rupee is failing
Sushant Sasne (2 years ago)
that was 1 good explanation Mann..
Chakkravarthi Raghavan (2 years ago)
Nice explanation.. Thank you :)
Darshan kokal (2 years ago)
hindi me bol na
Vipul Patel (2 years ago)
It's good explanation but many things in goner ..... like Volume of import export ... inflation rate ... intrest rate ..... number of currency notes issue by contry in a year ..... these all thing are very complicated to understand laymen .....
Parmendra Kumar (2 years ago)
small shity things dont matter .they r only gud in books
slenderman slender (2 years ago)
1$=67.38 rupees (INR) now. and the day will come soon when Americans will use our rupees as a toilet paper
Victor Díaz (1 year ago)
won means cheaper than toilet paper.
Alpha Centauri (2 years ago)
totally wrong , 1rupee = 1.5 Japanese yen, so what do u think the yen is worth?? also take a look at south koreas currency 1 usd will get u 1150 korean won, thats almost twenty times more than INR , Countries GDP makes the economy our gdp is 2.5 trillion japan is around 4.8trillion $, china is 11 trillion usa is 17 trillion
Manoj Kannan (2 years ago)
Pradyumna Rawat (2 years ago)
lol.... worst video
Rizwan Ahmed (2 years ago)
I appeal to Indian Government to Provide Good Facilities and Incentive to Indian Exporters Please Give Good Incentives to Indian Exporters Only 1 way to Strong our Economy is Exporting Indian Goods to international market and Stop Importing
Parag Flume (2 years ago)
thanks, nicely explained
slenderman slender (2 years ago)
The falling rupees and the price rise is the reason why I had settled abroad permanently, because I can't fulfil my dreams in India.
Srinivas Chinta (2 years ago)
nice joke...
Parmendra Kumar (2 years ago)
Your not coward Ur brainless
Srinivas Chinta (2 years ago)
keep running... I am not a coward......
Parmendra Kumar (2 years ago)
+Srinivas Chinta hahahaha guts to start from rs 10000 and go to 30000 on a shityy job in 5 yr.fuck it bro.u can get paid more and more money in a country which gives you money as per your talent.in india talented people r so high in number that job r available for all and even job pay is shity.go once abroad and u will change ur mind.u r loser who is just working on low paid job.
Srinivas Chinta (2 years ago)
You dont have the guts to face things in India... You have excuses but not the courage and smartness to say I am an Indian....
Infinity Solo (2 years ago)
People who are making money in forex let them do their business because its their hard earn money. People who are losing their money let them loose, they don't know how to do business.
Infinity Solo (2 years ago)
Men Indian Government making me more angry day by day.Fuck this government.Why they are banning forex trading in india. I like to do forex trading. Untill today I made $10000 only by investing by 1000$ in the market & that also within 5 months. Why they dont allow indian citizen to do forex trading. People are earning money by salary and they free to put that in anywhere to get good returns.Some people are losing their money in market because they don't understand how to trade. but what about others they know how to trade and to get good money back. Then why indian goverment is not allowing for forex trade in india. Fucking Government.They Don't want to see indian citizen to become rich.
Yash Shirodkar (2 years ago)
Ragiv Dixit explains well about the currency comparatively to this guy. Develop some communication skills man.
Santu santhosh (2 years ago)
so is it true that the more dollar becomes strong, the more is US becoming weak??? U said US pulling all dollars back...??? confused hogayaa :/
baba brawl (2 years ago)
bhai tere students fail hojayenge nai to dhang se samjha de
Bounty hunter (2 years ago)
gandhi ki bat sunoge to rupee ki demand highest level pe pahuch jayegi. apna kam khud karo robot banana hain to khud invent karke banao .Apni indian public so lazy and depending on other makers so falling . Arey bhai tum jitna robot kharidne me kharcha karte ho inse jyada banane me kiya hota to kuch sikhne to milega.
Himanshu Parmar (2 years ago)
For your "Why is Rupee falling against US Dollar?" can you explain how "INDIA" inflation of money play factor in defining the value in current exchange rate system? Also How does initial value determine price tag attach to Rupee Prior to Exchange Rate Agent rate the value? This will complete the entire circle.
Alim Exports (2 years ago)
acche din aaa gaye

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