Indian rupee ended weaker against dollar on Monday on increased dollar demand from banks and importers. The domestic currency failed to get solace from the gains in the equity market. Investors turned cautious ahead of the Budget session of Parliament commencing on February 23 which will focus largely on the financial business of the government. Furthermore, investors overlooked that the global rating agency Moody’s pegged India’s growth at 7.5% for next two years, saying that it’s insulated from global turmoil. On the global front, yen was weaker against its rivals during Asian trade, as investors opted to sell the safety of the Japanese currency amid Tokyo stocks’ steady gains.
Finally, the rupee ended at 68.61, 15 paise weaker from its previous close of 68.46 on Thursday. The currency touched a high and low of 68.69 and 68.50 respectively. The Reserve Bank of India’s (RBI) reference rate for the dollar stood at 68.55 and for Euro stood at 76.19 on February 22, 2016. While the RBI’s reference rate for the Yen stood at 60.75, the reference rate for the Great Britain Pound (GBP) stood at 97.8438. The reference rates are based on 12 noon rates of a few select banks in Mumbai.
