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Rupee trades strong tailing losses of dollar, gains of local equities

01 Jul 2014 Evaluate

Indian rupee after getting a strong start continued trading higher on Tuesday, tailing losses of dollar against other Asian currencies and gains of local equities on back of diesel and petrol price hike. Nevertheless, further uptrend of local unit was capped on account of dismal deficit data, which for April-May shot up to 45% of the full year target. However, the Indian currency is expected to remain in tight range ahead of the budget on July 10 with the geo-political situation in Iraq and Reserve Bank of India (RBI) intervention being closely monitored. On the global front, dollar languished at seven-week lows against a basket of major currencies on Tuesday, having extended a month-long decline after a recent batch of mixed data cast doubts on the strength of the U.S. economic recovery.

The partially convertible currency is currently trading at 60.13, stronger by 6 paise from its previous close of 60.19 on Monday. The currency touched a high and low of 60.20 and 60.11 respectively. The Reserve Bank of India’s (RBI) reference rate for the dollar stood at 60.09 and for Euro stood at 82.00 on June 30, 2014. While, the RBI’s reference rate for the Yen stood at 59.28, the reference rate for the Great Britain Pound (GBP) stood at 102.3269. The reference rates are based on 12 noon rates of a few select banks in Mumbai.

Date1US$1GBP
June 30, 201460.09 102.3269
June 27, 201460.09 102.3972

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