Indian rupee strengthened against the dollar on Wednesday on increased selling of the American currency by exporters and banks ahead of the Reserve Bank of India (RBI) policy meet scheduled later in the day. The Reserve Bank of India is expected to cut interest rates by at least 25 basis points at its monetary policy meeting after Prime Minister Narendra Modi's currency crackdown rattled the economy. Further, the dollar’s weakness against some currencies overseas too influenced the rupee uptrend. On the global front, the euro and dollar were steady on Wednesday as traders paused for the outcome of Thursday's European Central Bank policy meeting, which may set the tone for currency markets after the sharp moves in the wake of last month's US election.
The partially convertible currency is currently trading at 67.86, stronger by 4 paise from its previous close of 67.90 on Tuesday. The currency touched a high and low of 67.88 and 67.7750 respectively. The Reserve Bank of India’s (RBI) reference rate for the dollar stood at 68.03 and for Euro stood at 73.10 on December 6, 2016. While the RBI’s reference rate for the Yen stood at 59.68, the reference rate for the Great Britain Pound (GBP) stood at 86.72. The reference rates are based on 12 noon rates of a few select banks in Mumbai.
| Date | 1US$ | 1GBP |
| December 06, 2016 | 68.0322 | 86.7274 |
| December 05, 2016 | 68.1703 | 86.5354 |
