Indian rupee weakened against dollar in early deals on Monday after weak Chinese manufacturing PMI readings sparked selling across Asian currencies. Reports showed China’s Caixin Manufacturing PMI for December declined to 48.2 from 48.6 in November. This represents the tenth consecutive monthly contraction. Meanwhile, China’s official manufacturing PMI reading for December was reported at 49.7. Further, increased demand for the US currency from importers, a lower opening in domestic equities and a jump in global crude prices as tensions flared up between Iran and Saudi Arabia, also weighed on the domestic unit. On the global front, the dollar hovered near a two-week high against a basket of currencies on Monday in the first trading session of 2016, a year in which the market expected divergence in central bank monetary policies to give the greenback an edge over its peers.
The partially convertible currency is currently trading at 66.42, weaker by 28 paise from its previous close of 66.14 on Friday. The currency touched a high and low of 66.4475 and 66.2650 respectively. The Reserve Bank of India’s (RBI) reference rate for the dollar stood at 66.17 and for Euro stood at 71.86 on January 01, 2016. While, the RBI’s reference rate for the Yen stood at 55.01 the reference rate for the Great Britain Pound (GBP) stood at 97.6059. The reference rates are based on 12 noon rates of a few select banks in Mumbai.
| Date | 1US$ | 1GBP |
| January 01, 2016 | 66.1780 | 97.6059 |
| December 31, 2015 | 66.3260 | 98.3482 |
(RBI-Reference Rate)
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