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Rupee ends weaker despite recovering from more than two years low

05 Dec 2015 Evaluate

Indian rupee extended their losses on Friday, though it recovered substantially from its more than two-year-low of 67 a dollar. There was widespread selling by foreign investors in the equities and debt markets, with fear of fund outflow dragging the rupee lower. The domestic currency was weaker from the beginning and as the equity markets too made a soft start, it followed the trend. It was suspected Reserve Bank of India (RBI) intervention and large dollar sales by an exporter that halted the rupee decline, leading the domestic currency to end with modest losses only. On the global front the euro fell back slightly on Friday a session after posting its strongest one-day session in six years.

Finally, the rupee ended at 66.69, 4 paise weaker against its previous close of 66.65 on Thursday. The currency touched a high and low of 67.01 and 66.59 respectively. The Reserve Bank of India’s (RBI) reference rate for the dollar stood at 66.83 and for Euro stood at 73.04 on December 04, 2015. While, the RBI’s reference rate for the Yen stood at 54.51 the reference rate for the Great Britain Pound (GBP) stood at 101.0434. The reference rates are based on 12 noon rates of a few select banks in Mumbai.

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