Indian rupee ended lower on Thursday as the American currency strengthened overseas after the Federal Reserve upgraded its outlook on the US economy despite keeping the interest rate unchanged. Besides, month-end demand for the US currency from importers also weighed on weak sentiments of the rupee. Fed chair Janet Yallen stated that the Central Bank could raise rates by September if the economy continues to show improvement as expected, the development will spike up the US bond yields which in turn will affect Indian rupee. On the global front, the dollar rose against the yen and the euro on Thursday, encouraged by what investors interpreted as a slightly hawkish statement from the Federal Open Market Committee in deciding when to raise short term rates.
Finally, the rupee ended at 64.04, 13 paise weaker from its previous close of 63.91 on Wednesday. The currency touched a high and low of 64.04 and 63.91 respectively. The Reserve Bank of India’s (RBI) reference rate for the dollar stood at 64.00 and for Euro stood at 70.07 on July 20, 2015. While, the RBI’s reference rate for the Yen stood at 51.53, the reference rate for the Great Britain Pound (GBP) stood at 99.8303. The reference rates are based on 12 noon rates of a few select banks in Mumbai.
