Snapping two days of depreciation, Indian rupee ended considerably higher against dollar on Wednesday, on persistent selling of the American currency by exporters. Sentiments turned optimistic with a report stating that government is responding well to the rising trade tensions between the world's two largest economies, maintaining a stance that serves the cause of Indian exporters best. The market participants overlooked private report stating that liquidity crunch may hurt economic growth. The report penciling in a few basis points shave off in economic growth in the December quarter if the hoarding of cash by banks and mutual funds continue threatening on-lending non-banking finance companies, the lifeline of lakh of medium and small enterprises. The domestic unit also found support from strong gains in local equity markets. On the global front, euro skidded more than half a percent to its weakest since Aug. 20 on Wednesday after signs that economic growth could be slowing across the euro zone.
Finally, the rupee ended at 73.16, 41 paise stronger from its previous close of 73.57 on Tuesday. The currency touched a high and low of 73.34 and 73.09 respectively. The reference rate for the dollar stood at 73.26 and for Euro stood at 83.99 on October 24, 2018. While the reference rate for the Yen stood at 65.13, the reference rate for the Great Britain Pound (GBP) stood at 95.05. The reference rates are based on 12 noon rates of a few select banks in Mumbai.
