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Amid Russia Ukraine war, Indian rupee declines to an all-time low against US dollar: How does US Dollar determine the value of Indian currency? All you need to know

India is one such country that is primarily affected by Russia’s invasion of Ukraine. The Indian rupee fell to a record lifetime low of 76.97 against the US dollar.

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The ongoing Russia Ukraine war has not impacted just these two countries’ GDP but also affected the economy globally. India is one such country that is primarily affected by Russia’s invasion of Ukraine. The value of the Indian currency has declined to an all-time low.

The Indian rupee fell to a record lifetime low of 76.97 against the US dollar. It’s due to a significant increase in international crude oil prices, which has threatened to raise imported inflation and deepen the country’s trade and current account deficit.

Global crude oil prices were nearing record highs after reports said that the US and its European allies are considering barring Russian oil imports in response to the country’s invasion of Ukraine. Brent crude oil hit a high of USD 139.13 per barrel, before easing a bit.

Which is the most powerful currency in the world and how does it determine the value of other currencies?

US dollar is the most powerful currency in the world. All the trading in the world is done in US dollars. Each country has its own currency and its value is determined by the economic concept of Demand and Supply.

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The value of a currency that is in higher demand has a higher value. The value of a currency is determined by economic factors such as trade, inflation, employment, interest rates, growth rate, and geopolitical situations.

The concept of currency fluctuation is part of the larger Foreign exchange market.

What is Foreign Exchange Market?

The Foreign Exchange Market is mainly a global market for currency trading. One currency is exchanged for another at a particular rate. The rate at which two particular currencies are exchanged is called the exchange rate.

The value of one country’s currency in relation to another country’s currency is known as the exchange rate.

How does US Dollar determine the value of Indian currency?

The US dollar is in high demand because India imports more goods from the US than it exports. The demand for the US dollar will rise in this situation because more dollars will be paid to the US while purchasing products from them.

To pay for these goods, more dollars will have to be purchased on the foreign exchange market in India. As a result, demand for US dollars will rise compared to the Indian rupee, boosting their value.

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However, if the Indian Rupee’s value plummets dramatically, the government will step in. They will aim to decrease the supply of Indian rupees immediately to compensate for the low demand. They will purchase the Indian rupee on the market with US dollar reserves. As it buys more Indian currency with US dollars, the supply of Indian currency falls while the supply of US money rises, resulting in an increase in the rupee’s value and a reduction in the dollar’s value.

If the oil prices keep increasing at this rapid rate then the Indian currency could head towards 79 per dollar soon.

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Russia Ukraine War Live Updates: Russian military action will stop in a moment is Ukraine meets conditions, says Kremlin

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AAP drops minister, sitting MLAs from second Punjab list, gives tickets to 2 MPs

AAP has released its second list of 31 candidates for the 2027 Punjab Assembly elections. The list leaves out a minister and several sitting MLAs while giving Assembly election tickets to two MPs.

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The Aam Aadmi Party (AAP) has announced its second list of 31 candidates for the 2027 Punjab Assembly elections, taking the total number of constituencies for which it has declared nominees to 71. The latest list includes two sitting Members of Parliament (MPs), while several sitting MLAs have been replaced.

The party has also cancelled the ticket of Cabinet Minister Gurmeet Singh Khuddian, fielding Randhir Singh Dhira Khuddian instead from Lambi.

The development comes as the ruling party steps up preparations for the 2027 Punjab Assembly elections. 

AAP’s second list follows 40-candidate announcement

AAP had announced its first list of 40 candidates on October 31. The party had renominated all 40 sitting MLAs included in that list.

Punjab Chief Minister Bhagwant Mann was named as the candidate from Dhuri, while Assembly Speaker Kultar Singh Sandhwan was fielded from Kotkapura.

Three AAP MLAs quit the party shortly after the announcement of the first list, leaving Samana, Sanaur and Amritsar North among the constituencies requiring a fresh look.

Minister Gurmeet Khuddian loses Lambi ticket

One of the significant changes in the second list is in Lambi, where AAP has fielded Randhir Singh Dhira Khuddian instead of sitting MLA and Cabinet Minister Gurmeet Singh Khuddian.

Gurmeet Singh Khuddian had defeated former Punjab Chief Minister Parkash Singh Badal from the constituency in the 2022 Assembly elections.

Two sitting MPs get Assembly tickets

AAP has fielded two sitting MPs in the 2027 Punjab Assembly elections. Sangrur MP Gurmeet Singh Meet Hayer will contest from Barnala, his former constituency, while Hoshiarpur MP Dr Raj Kumar Chabbewal has been named as the candidate from Phagwara.

Meet Hayer returns to Barnala, where Congress won the 2024 bypoll.

Focus shifts to candidate selection ahead of Punjab polls

The second list indicates that the party is making further changes to its candidate selection as it prepares for the 2027 Assembly elections.

Giving tickets to two MPs also marks an important development in its electoral preparations.

The candidate announcements come as political parties begin preparing for the next electoral contest in Punjab, where the AAP will seek another term in government.

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Nvidia CEO Jensen Huang resigns amid affair scandal, Colette Kress takes over

Nvidia CEO Jensen Huang has resigned amid an affair-related controversy. The company’s CFO, Colette Kress, will serve as interim CEO while the board looks for a permanent successor.

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colette kress

Nvidia CEO Jensen Huang has resigned from his position, marking a major leadership change at the world’s leading artificial intelligence chipmaker. The company’s board has appointed Chief Financial Officer Colette Kress as interim CEO while it begins the process of finding a permanent successor.

The development comes amid controversy surrounding reports of Huang’s alleged extramarital relationships, including one involving a Chinese businesswoman suspected by US authorities of having links to espionage activities.

Huang’s departure comes after more than three decades at the helm of Nvidia, the company he co-founded in 1993. His leadership helped transform the business from a graphics chip manufacturer into a dominant supplier of processors powering the global artificial intelligence industry.

Colette Kress appointed interim Nvidia CEO

Following Huang’s resignation, Nvidia’s board appointed Colette Kress as interim chief executive officer.

Kress, who has served as Nvidia’s executive vice president and CFO since September 2013, will continue to hold the finance portfolio alongside her interim leadership responsibilities until a permanent successor is appointed.

Before joining Nvidia, she spent nearly 25 years working in finance roles at major technology companies, including Cisco and Microsoft.

The board has said it will consider both internal and external candidates as part of its search for a permanent CEO.

Nvidia has also appointed Harvey C. Jones as the company’s first-ever chairman of the board.

Affair controversy surrounding Jensen Huang

Huang’s resignation follows a series of reports about alleged extramarital relationships that have raised questions about his position at the company.

One of the controversies involves Alice Huang, a Chinese businesswoman whom US intelligence agencies reportedly suspect of involvement in facilitating shipments of Nvidia chips to Chinese companies.

Another report alleged that Huang had a relationship with Kimberly Powell, Nvidia’s vice president of healthcare, who reportedly worked under him.

Huang had earlier acknowledged being unfaithful to his wife in a message to Nvidia employees, taking responsibility for his actions and apologising to his family and colleagues.

The company’s board had also initiated an independent investigation into whether Huang had been targeted as part of a foreign intelligence operation.

Jensen Huang’s departure marks a major change for Nvidia

Huang co-founded Nvidia in 1993 alongside Curtis Priem and Chris Malachowsky. Under his leadership, the company evolved from a graphics processing unit manufacturer primarily associated with gaming into a central player in the global AI industry.

Nvidia’s processors have become critical to companies developing and operating artificial intelligence systems, making the company one of the most influential businesses in the technology sector.

His departure also comes at a crucial time for Nvidia, with investors closely watching the company’s leadership transition and its ability to maintain its position in the rapidly expanding AI market.

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Chandrashekhar Azad to be CM candidate of alliance with Owaisi for Uttar Pradesh elections

Asaduddin Owaisi and Chandrashekhar Azad have joined hands ahead of the 2027 Uttar Pradesh Assembly elections, bringing together the AIMIM and Azad Samaj Party in an effort to consolidate Dalit and Muslim voters.

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Asaduddin Owaisi’s All India Majlis-e-Ittehadul Muslimeen (AIMIM) and Chandrashekhar Azad’s Azad Samaj Party (Kanshi Ram) have joined hands ahead of the 2027 Uttar Pradesh Assembly elections, seeking to emerge as a third political force and draw support from sections of Muslim and Dalit voters.

As part of the alliance, Owaisi declared Chandrashekhar Azad as the alliance’s Chief Ministerial face for the 2027 Uttar Pradesh Assembly elections.

Owaisi had been seeking a place in the Opposition alliance for months and had even issued ultimatums to the Samajwadi Party and Congress. However, his efforts did not find takers.

The alliance brings together AIMIM’s focus on Muslim political representation and the Azad Samaj Party’s outreach among Dalit voters. Both parties are seeking to establish a political formation outside the BJP-led NDA and the Samajwadi Party-led opposition.

Why Owaisi and Chandrashekhar Azad joined hands

Uttar Pradesh AIMIM president Shaukat Ali said the party approached Chandrashekhar Azad after its efforts to reach an understanding with the Samajwadi Party, Congress and Bahujan Samaj Party did not succeed.

Ali said AIMIM wanted a broader alliance to prevent the BJP from returning to power in Uttar Pradesh for a third consecutive term.

He also criticised the Samajwadi Party-Congress alliance, questioning its prospects in the next Assembly elections.

Chandrashekhar Azad, the Lok Sabha MP from Nagina, said the partnership would focus on empowering young people, farmers and weaker sections of society.

He also raised concerns over employment opportunities, demonetisation and issues affecting educated youth from Dalit and backward communities.

What the alliance means for Akhilesh Yadav’s PDA strategy

Muslims account for around 20 per cent of Uttar Pradesh’s population, while Dalits constitute approximately 21 per cent.

Samajwadi Party chief Akhilesh Yadav has used the PDA formulation to bring together backward classes, Dalits and minorities. The AIMIM-Azad Samaj Party alliance is seeking support among two important sections of this broader social grouping.

Muslims account for around 20 per cent of Uttar Pradesh’s population, while Dalits constitute approximately 21 per cent.

What the parties’ previous election performance shows

Both AIMIM and the Azad Samaj Party have struggled to establish a significant presence in Uttar Pradesh Assembly elections.

In the 2022 Assembly elections, AIMIM contested more than 90 seats but secured less than 0.5 per cent of the total votes. The Azad Samaj Party contested more than 100 seats and received approximately 0.13 per cent of the votes.

Chandrashekhar Azad, however, won the Nagina Lok Sabha constituency in 2024, giving his party its first elected representative in Parliament.

The alliance is now attempting to combine AIMIM’s support among sections of Muslim voters with Azad’s outreach among Dalit communities.

Its electoral prospects will depend on the seat-sharing arrangement, local leadership and whether the two parties can translate their combined social outreach into electoral support.

SP leaders respond to the alliance

Samajwadi Party MP from Ayodhya, Awadhesh Prasad, dismissed the electoral significance of the AIMIM-Azad Samaj Party alliance. He said that people in Uttar Pradesh had lost faith in the BJP government and described Akhilesh Yadav as the only leader capable of removing the BJP from power in 2027.

The alliance’s formation could therefore become an important factor in the political discussions ahead of the 2027 Assembly elections, particularly because both leaders are seeking support among communities that the Samajwadi Party also hopes to bring together through its PDA formulation.

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