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Rupee strengthens post the release of all time low February WPI data

16 Mar 2015 Evaluate

Indian rupee after making a flat to negative start, has recouped substantial ground and trading strong against dollar on Monday on sustained dollar selling by banks and exporters. The gains of rupee came despite negative local equities and notably after  annual rate of inflation, based on monthly wholesale price index (WPI) continued to show disinflationary trend by ebbing to all-time low level of 2.06% in February. However, strength of dollar index against the basket of other major currencies limited further gains of local unit. On the global front, euro sank to a fresh 12-year low on Monday after a recent bounce was met with fresh selling interest in a sign that investors were still very bearish on the common currency, while Persistent weakness in the euro helped the dollar index stretch to a 12-year high in early deals.

The partially convertible currency is currently trading at 62.84, stronger by 13 paise from its previous close of 62.97 on Friday. The currency touched a high and low of 62.98 and 62.79 respectively. The Reserve Bank of India’s (RBI) reference rate for the dollar stood at 62.67 and for Euro stood at 66.42 on March 13, 2015. While, the RBI’s reference rate for the Yen stood at 51.60, the reference rate for the Great Britain Pound (GBP) stood at 93.1639. The reference rates are based on 12 noon rates of a few select banks in Mumbai.

Date1US$1GBP
March 13, 2015 62.6793.1639
March 12, 201562.56 93.5682

(RBI-Reference Rate)

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