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Rupee hits fresh low against dollar on global risk aversion

22 Jun 2012 Evaluate

Hurt by lower domestic equity markets rupee plunged to another record low against dollar on Friday amid global risk aversion. However, increase in demand for dollar and rising capital inflows added some pressure on the local currency. Dollar strengthening against euro and other overseas currencies also hampered rupee to some extent. Investors are waiting for the aggressive intervention of the central bank in currency market. Meanwhile, euro tumbled against dollar as data showed Germany's private sector shrank in June for the second month running and manufacturing activity hits three-year low.

The partially convertible currency is currently trading at 56.94, weaker by 64 paise from its previous close of 56.30 on Thursday. It has touched a high and low of 56.97 and 56.76 respectively. The Reserve Bank of India's (RBI) reference rate for the dollar stood at Rs 56.41 and for Euro it stood at Rs 71.52 on June 21, 2012. While, the RBI’s reference rate for the Yen stood at 70.85, the reference rate for the Great Britain Pound (GBP) stood at 88.4462. The reference rates are based on 12 noon rates of a few select banks in Mumbai.

Date1US$1GBP

June 21, 2012

56.41 88.4462

June 20, 2012

55.8587.9325
(RBI-reference rate)

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