Maintaining its upbeat trend for the second-straight session, Indian rupee ended higher against US dollar on Wednesday, on the back of fresh selling of the US dollar by exporters. Investors took support with Niti Aayog’s former vice chairman Arvind Panagariya’s statement that India is headed to become the world’s fifth largest economy and it has the potential to achieve 10% growth rate. Some support also came with Finance Minister Arun Jaitley expressing confidence about the Indian economy’s potential, he said India will be one of the three largest economies in the world over the next 25 years. Moreover, weakness in the dollar against other currencies overseas too made the rupee stronger. Though, lackluster trade in the equity markets limited further appreciation of Indian currency. On the global front, dollar slid to three-year lows against a basket of major peers on Wednesday on worries about the protectionist agenda expected to be pursued by US President Donald Trump in a speech later this week.
Finally, the rupee ended at 63.69, 9 paise stronger from its previous close of 63.78 on Tuesday. The currency touched a high and low of 63.70 and 63.62 respectively. The Reserve Bank of India's (RBI) reference rate for the dollar stood at 63.64 and for Euro stood at 78.45 on January 24, 2018. While the RBI's reference rate for the Yen stood at 57.92, the reference rate for the Great Britain Pound (GBP) stood at 89.32. The reference rates are based on 12 noon rates of a few select banks in Mumbai.
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