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Rupee rises for 4th straight day on dollar sale

07 Mar 2018 Evaluate

Rising for the fourth straight day, Indian rupee ended marginally stronger against dollar on Wednesday, owing to dollar sale by exporters and banks. Traders took support with private report enlightening that the Indian economy is likely to recover gradually to 7.1% in the 2018-19 financial year, as GST-related disruptions have eased and consumption levels have improved. The report added that gradual recovery is underway and the country has started to recuperate from the cyclical and structural bottlenecks witnessed over the past two years. The domestic unit also found some support as dollar weakened overseas. However, extremely bearish local equity markets and unabated foreign fund outflows, restricted the further move. On the global front, dollar fell to a two-week intraday low on Wednesday following the resignation of Donald Trump’s top economic adviser after he lost his battle against trade tariffs.

Finally, the rupee ended at 64.89, 7 paise stronger from its previous close of 64.96 on Tuesday. The currency touched a high and low of 65.01 and 64.87 respectively. The Reserve Bank of India’s (RBI) reference rate for the dollar stood at 64.96 and for Euro stood at 80.74 on March 07, 2018. While the RBI’s reference rate for the Yen stood at 61.55, the reference rate for the Great Britain Pound (GBP) stood at 90.33. The reference rates are based on 12 noon rates of a few select banks in Mumbai.

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