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Rupee weakens on heavy demand for American currency from importers

15 Nov 2016 Evaluate

Indian rupee weakened against the US dollar on Tuesday on account of continued demand for the American currency from importers amid a lower opening of the domestic equity market. Further, dollar’s persistent gains against other Asian currencies since Donald Trump’s unexpected win in the US presidential election on November 8, also adding pressure on the rupee. Forex market remained closed yesterday on account of ‘Guru Nanak Jayanti’. On the global front, the dollar traded within sight of its highest level in more than 13-1/2 years on Tuesday as bond yields soared on expectations that President-elect Donald Trump's economic policies will fuel inflation.

The partially convertible currency is currently trading at 67.70, weaker by 45 paise from its previous close of 67.25 on Friday. The currency touched a high and low of 67.7375 and 67.5300 respectively. The Reserve Bank of India’s (RBI) reference rate for the dollar stood at 67.02 and for Euro stood at 73.11 on November 11, 2016. While the RBI’s reference rate for the Yen stood at 62.94, the reference rate for the Great Britain Pound (GBP) stood at 84.17.The reference rates are based on 12 noon rates of a few select banks in Mumbai.

Date1US$1GBP
November 11, 201667.029284.1753
November 10, 201666.427382.5093
(RBI-Reference Rate)

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