Falling for the second consecutive session, Indian rupee depreciated against dollar on Tuesday, on increased demand for the US currency from importers. Sentiments remained down-beat with rating agency Crisil attributing the continuing slowdown to the impacts of the demonetisation, GST implementation and weakness in agriculture, though it has maintained its FY19 growth estimate at 7.6 per cent on the low base. Some cautiousness also prevailed ahead of key economic data i.e. November IIP and December CPI data, scheduled to be released on January 12. However, a modest recovery in local equities capped the rupee fall to some extent. On the global front, dollar dropped against yen on Tuesday after the Bank of Japan trimmed the amount of its buying of Japanese government bonds.
Finally, the rupee ended at 63.71, 21 weaker from its previous close of 63.50 on Monday. The currency touched a high and low of 63.74 and 63.42 respectively. The Reserve Bank of India's (RBI) reference rate for the dollar stood at 63.46 and for Euro stood at 75.91 on January 09, 2018. While the RBI's reference rate for the Yen stood at 56.33, the reference rate for the Great Britain Pound (GBP) stood at 86.15. The reference rates are based on 12 noon rates of a few select banks in Mumbai.
