Indian rupee recovering from their early losses strengthened further on Wednesday, extending their last session gains on fresh selling of dollars by banks and exporters. The movement of the domestic currency was also supported by the rally in the local equity markets. The rupee started weak on initial dollar demand from banks and importers amid capital outflows, but the good going in the equity markets raised hopes of resumption of foreign capital inflows. In the global markets, Japanese yen surged against the dollar, reaching a two-week high, after Bank of Japan Governor Haruhiko Kuroda said the real effective exchange rate shows the Japanese currency is “very weak’’.
Finally the rupee ended at 63.84, 8 paise stronger from its previous close of 63.92 on Tuesday. The currency touched a high and low of 64.05 and 63.78 respectively. The Reserve Bank of India’s (RBI) reference rate for the dollar stood at 63.88 and for Euro stood at 72.14 on June 10, 2015. While, the RBI’s reference rate for the Yen stood at 51.94, the reference rate for the Great Britain Pound (GBP) stood at 98.4722. The reference rates are based on 12 noon rates of a few select banks in Mumbai.
