Indian rupee extending weakness for the second day declined on Friday, due strong month-end dollar demand from importers and appreciation of the American currency overseas. There has been dollar buying by corporates and oil marketing companies to meet their requirement, which weighed on the rupee. Stronger dollar sentiment overseas against the backdrop of Federal Reserve's decision to leave interest rates unchanged predominantly pressurized the local unit. On the global front, euro regained some of the recent ground lost after the FOMC meeting as higher than expected consumer prices in the euro area during July have lent support to the euro.
Finally, the rupee ended at 64.13, 9 paise weaker from its previous close of 64.04 on Thursday. The currency touched a high and low of 64.17 and 63.98 respectively. The Reserve Bank of India’s (RBI) reference rate for the dollar stood at 64.00 and for Euro stood at 70.16 on July 31, 2015. While, the RBI’s reference rate for the Yen stood at 51.55, the reference rate for the Great Britain Pound (GBP) stood at 99.8356. The reference rates are based on 12 noon rates of a few select banks in Mumbai.
