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Rupee ends higher for second straight day

27 Apr 2018 Evaluate

Extending gains for the second straight day, Indian rupee ended stronger against the US dollar on Friday, on continued selling of the US currency by banks and exporters. Traders took some solace with a private report stating that India’s economic growth will accelerate to 7.2% in the current fiscal buoyed by manufacturing activity even as rising oil prices and high government debt remain a challenge. The agriculture sector is expected to grow higher than the estimated 2.1% in the current fiscal year on account of positive prospects on Rabi harvest and a normal monsoon. Besides, good going in the local equity markets too supported the domestic unit. On the global front, dollar edged higher on Friday and is on track to post its best weekly performance in more than 1-1/2 years as a spike in US Treasury yields prompted some investors to unwind some short bets against the dollar, especially against some emerging market currencies.

Finally, the rupee ended at 66.65, 10 paise stronger from its previous close of 66.75 on Thursday. The currency touched a high and low of 66.84 and 66.65 respectively. The Reserve Bank of India’s (RBI) reference rate for the dollar stood at 66.78 and for Euro stood at 80.74 on April 27, 2018. While the RBI’s reference rate for the Yen stood at 61.08, the reference rate for the Great Britain Pound (GBP) stood at 92.89. The reference rates are based on 12 noon rates of a few select banks in Mumbai.

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