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Rupee loses substantial ground after a flat start; incremental dollar demand weighs

23 Dec 2014 Evaluate

Indian rupee, after making a flat start and losing substantial ground thereafter was trading weak against dollar on Tuesday on the back of incremental month end, quarter end dollar demand by importers in view of its strength overseas. However, modest gains of local equities were limiting further upside of local unit. On the global front, dollar touched a fresh two-week high against the yen on Tuesday, but struggled to make further headway in a market subdued by a holiday in Japan.

The partially convertible currency is currently trading at 63.44, weaker by 19 paise from its previous close of 63.25 on Monday. The currency touched a high and low of 63.45 and 63.24 respectively. The Reserve Bank of India’s (RBI) reference rate for the dollar stood at 63.17 and for Euro stood at 77.41 on December 22, 2014. While, the RBI’s reference rate for the Yen stood at 52.88, the reference rate for the Great Britain Pound (GBP) stood at 98.8510. The reference rates are based on 12 noon rates of a few select banks in Mumbai.

Date1US$1GBP
December 22, 201463.17 98.8510
December 19, 201463.06 98.7314

(RBI-Reference Rate)

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