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Rupee weakens on buying of American currency by banks and importers

21 Jun 2017 Evaluate

Indian rupee weakened against the US dollar on Wednesday on account of buying of American currency by banks and importers. Besides, sustained capital outflows and a weak domestic equity market too put pressure on rupee. Rupee fell further by tracking losses in the Asian currencies, as crude oil tumbled into a bear market on concern that a global supply glut will persist. However, the dollar's weakness against other currencies overseas limited the rupee's fall. On the global front, the dollar pulled back from one-month highs against a basket of currencies on Wednesday as tumbling oil prices pushed down US yields, while the pound wobbled after Bank of England Governor Mark Carney shot down hopes of an interest rate hike.

The partially convertible currency is currently trading at 64.62, weaker by 12 paise from its previous close of 64.50 on Tuesday. The currency touched a high and low of 64.6475 and 64.5950 respectively. The Reserve Bank of India’s (RBI) reference rate for the dollar stood at 64.46 and for Euro stood at 71.95 on June 20, 2017. While the RBI’s reference rate for the Yen stood at 57.80, the reference rate for the Great Britain Pound (GBP) stood at 82.15. The reference rates are based on 12 noon rates of a few select banks in Mumbai.

Date 1US$1GBP
June 20, 201764.467282.1506
June 19, 201764.378882.2053
 (RBI-Reference Rate)

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