Snapping its three-day losing streak Indian rupee bounced back against dollar on Thursday on heavy selling of dollar by banks and exporters. The domestic currency looked strong from the very beginning and was also supported by the gains in equity markets, which despite some choppiness managed a positive close. Besides, the dollar’s weakness against some currencies overseas supported the rupee. The sentiments were on optimistic note as Finance Minister Arun Jaitley expressed the hope of passage of the Constitutional Amendment Bill for the Goods and Services Tax and the Insolvency Code in the forthcoming Budget Session of Parliament. On the global front, euro hit a 3-1/2 month high, extending its gains from an explosive sell-off a day earlier.
Finally, the rupee ended at 67.56, 51 paise stronger from its previous close of 68.07 on Wednesday. The currency touched a high and low of 67.87 and 67.56 respectively. The Reserve Bank of India’s (RBI) reference rate for the dollar stood at 67.80 and for Euro stood at 75.13 on February 04, 2016. While the RBI’s reference rate for the Yen stood at 57.42, the reference rate for the Great Britain Pound (GBP) stood at 98.7914. The reference rates are based on 12 noon rates of a few select banks in Mumbai.
