Indian rupee concluded considerably stronger on Friday as some local gold importers unwound long-dollar positions after Finance Minister’s proposed doubling of import duties on gold in its Union Budget 2012-13. However, the rather pragmatic budget, which had cascading impact on local equities, limited the upside of local currency. But the expectation of a lower current account deficit of 3.6% for 2011-12, held in the favour of the Indian currency. On the global front, the dollar fell against the euro and pared gains against the yen on Friday after a U.S. inflation report reduced the likelihood of the Federal Reserve tightening monetary policy sooner than anticipated.
Finally the rupee ended at 50.20, stronger by 19 paise from its previous close of 50.39 on Thursday. It has touched a high and a low 50.43 and 50.19 respectively. The Reserve Bank of India's (RBI) reference rate for the dollar stood at Rs 50.3130 and for Euro it stood at Rs 65.8262 on March 16, 2012. While, the RBI's reference rate for the Yen stood at 60.28 the reference rate for the Great Britain Pound (GBP) stood at 79.0468. The reference rates are based on 12 noon rates of a few select banks in Mumbai.
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