Indian rupee ended marginally higher against dollar on Wednesday on increased selling of the American currency by exporters and banks. Some support also came with the government accepting the recommendations of A P Shah-led panel that minimum alternate tax (MAT) will not be applicable to foreign institutional investors (FIIs), a move which is expected to stop the outflow of funds from the country. However, losses of local equities limited further appreciation of domestic currency. On the global front, the dollar rose on Wednesday as fragile global stock markets stabilized, taking the heat out of a rush to unwind carry trades that boosted the safe-haven yen and the low-yielding euro
Finally, the rupee ended at 66.19, 2 paise stronger from its previous close of 66.21 on Tuesday. The currency touched a high and low of 66.31 and 66.11 respectively. The Reserve Bank of India’s (RBI) reference rate for the dollar stood at 66.16 and for Euro stood at 74.60 on September 1, 2015. While, the RBI’s reference rate for the Yen stood at 55.09, the reference rate for the Great Britain Pound (GBP) stood at 101.2174. The reference rates are based on 12 noon rates of a few select banks in Mumbai.
