Snapping its four day losing streak, Indian rupee bounced back against dollar on Wednesday, ahead of the outcome of two-day US Fed policy review later in the day which is likely to keep its interest rates unchanged. The domestic currency looked strong from the very beginning and was strongly supported by smart rally in the equity markets. Besides, fresh selling of American unit by banks and exporters too supported rupee. However, dollar’s strength against some currencies overseas capped the gains. Sentiment got support with NITI Aayog Vice-Chairman Arvind Panagariya statement that India's economic growth will cross the 8 per cent-mark this fiscal on the back of good monsoon and pick up in manufacturing. On the global front, yen lost a bit of ground against the dollar as a bounce in Tokyo stocks slightly improved investor risk appetite.
Finally, the rupee ended at 67.15, 12 paise stronger from its previous close at 67.27 on Tuesday. The currency touched a high and low of 67.23 and 67.06 respectively. The Reserve Bank of India’s (RBI) reference rate for the dollar stood at 67.15 and for Euro stood at 75.28 on June 15, 2016. While the RBI’s reference rate for the Yen stood at 63.19, the reference rate for the Great Britain Pound (GBP) stood at 95.1114. The reference rates are based on 12 noon rates of a few select banks in Mumbai.
