A nervous market could translate into panic, thereby skyrocketing the demand for dollars which would farexceed supply. Given this scenario continuing for long, can speculators be expected to abstain from the feeding frenzy. The rupee which closed at 42.20 on Friday weakened sharply to cross 43 on Tuesday. Exporters are staying away from the market as they expect the rupee to depreciate further, while importers are rushing to cover their positions. Thus with forward premia up, the ominous signs clearly predict another fall of the rupee. The government which missed a golden opportunity in the union budget to attract foreign investment will have to announce measures that will speed up the process of attracting foreign money especially in the infrastructure sector. Along with this it needs to launch the Resurgent India Bond and the India Millennium Fund at the earliest. This is expected to contribute $6 billion to the forex kitty and boost market sentiments.