Indian rupee, after witnessing consolidation in previous few trading session, strengthened on Wednesday on solid foreign inflows into debt and stocks despite month-end dollar demand from importers, given greenback’s strength overseas. Foreign institutional investors have been net buyers of shares and debt for the tenth consecutive sessions as of Monday, including nearly $500 million on Friday alone, the largest single-day amount since June 9. On the global front, dollar scaled six-month peak ahead of the U.S. GDP data and conclusion of the Fed's two-day meeting. Dollar bulls held out on hope that U.S. second quarter gross domestic product will show the economy has rebounded from a very soft patch.
Finally the rupee ended at 60.07, stronger by 7 paise from its previous close of 60.14 on Monday. The currency touched a high and low of 60.21 and 60.05 respectively. The Reserve Bank of India’s (RBI) reference rate for the dollar stood at 60.14 and for Euro stood at 80.63 on July 28, 2014. While, the RBI’s reference rate for the Yen stood at 58.90, the reference rate for the Great Britain Pound (GBP) stood at 101.9216. The reference rates are based on 12 noon rates of a few select banks in Mumbai.
