Snapping previous session’s gains, Indian Rupee depreciated drastically against the American currency on Monday. Traders remain concerned with report that foreign exchange reserves fell below $400 billion, for the first time since November 11, 2017, in the first week of September. As on September 7, foreign exchange reserves stood at $399.28 billion, a result of the Reserve Bank of India’s intervention at a time when portfolio flows were witnessing some reversals. Rupee sentiments were also hit with private report stating that ahead of the festive season, the surge in petrol rates has left consumers scrambling and cutting household expenses to adjust with the price hike. Besides, feeble trading of domestic equity markets too weighed on rupee. On the global front, the dollar fell on Monday as investors cautiously waited for the next salvo in the trade war between the United States and China.
Finally, the rupee ended at 72.49, 63 paise weaker from its previous close of 71.86 on Friday. The currency touched a high and low of 72.69 and 72.30 respectively. The reference rate for the dollar stood at 72.55 and for Euro stood at 84.39 on September 17, 2018. While the reference rate for the Yen stood at 64.78, the reference rate for the Great Britain Pound (GBP) stood at 94.94. The reference rates are based on 12 noon rates of a few select banks in Mumbai.
