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Indian rupee depreciates on lower local shares

15 Mar 2012 Evaluate

Indian rupee fell against the US currency on Thursday tracking dollar's gains against other currencies overseas. Weak opening in the stock market and increased demand for the American currency from importers also pressurized the local unit. Meanwhile, RBI kept its policy repo rate unchanged at 8.5% at its mid-quarter review and it expected to ease policy after manufacturing inflation showed signs of decline. In this policy central bank remained focused on economic growth even though rising oil prices have emerged as an inflationary risk.

The partially convertible currency is currently trading at 50.20, stronger by 29 paise from its previous close of 49.91 on Wednesday. It has touched a high and a low of 50.21 and 50.10 respectively. The Reserve Bank of India's (RBI) reference rate for the dollar stood at Rs 49.9030 and for Euro it stood at Rs 65.0885 on March 14, 2012. While, the RBI's reference rate for the Yen stood at 59.97 the reference rate for the Great Britain Pound (GBP) stood at 78.1481. The reference rates are based on 12 noon rates of a few select banks in Mumbai.   

Date1US$1GBP

March 14, 2012

49.9078.1481

March 13, 2012

49.8577.9675
(RBI-Reference Rate)  

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