Indian Rupee seen at Rs 40 aganist USD

Citigroup currency analysts forecasts the Indian Rupee to stabilize around Rs 40.00 against the US Dollar over the next 3 quarters.

The Rupee forecast against US Dollar for the next few quarters is as follows,

Q3-2007 – Rs 40.30
Q4-2007 – Rs 40.10
Q1-2008 – Rs 40.00

So IT exporters will be under tremendous pressure to re-negotiate billing rates or revise the earnings guidance lower.