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Rupee ends at 19-month low on rising crude oil prices

27 Jun 2018 Evaluate

Extending losses for the third straight session, Indian rupee ended at 19-month low as against the US dollar on Wednesday, on strong month-end dollar demand from importers and banks. This is the rupee’s lowest level against the greenback since November 29, 2016. Sentiments remained down-beat with a report stating that government debt rose 1.7% to over Rs 76.94 lakh crore in the January-March period of 2017-18 fiscal over the previous quarter. The debt was Rs 75.66 lakh crore as of December 2017. Moreover, steady capital outflows and a modest rise in crude prices also added some pressure on the local currency. On the global front, dollar slipped lower against a basket of the other major currencies on Wednesday, as concerns over heightened trade tensions continued to weigh on market sentiments.

Finally, the rupee ended at 68.62, 37 paise weaker from its previous close of 68.25 on Tuesday. The currency touched a high and low of 68.67 and 68.42 respectively. The Reserve Bank of India’s (RBI) reference rate for the dollar stood at 68.52 and for Euro stood at 79.86 on June 27, 2018. While the RBI’s reference rate for the Yen stood at 62.36, the reference rate for the Great Britain Pound (GBP) stood at 90.60. The reference rates are based on 12 noon rates of a few select banks in Mumbai. 

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