Indian rupee ended marginally higher against dollar on Monday, owing to dollar sale by exporters and banks. Market participants took some support with a private report that the global economy is expected to achieve an annual GDP growth rate, as measured in constant dollars, of 3.7% between 2018-2020 before dipping to 3.6% between 2021-2023 and, in turn, pass the $100 trillion mark around 2022. Besides, a spectacular relief rally in local equities supported the forex sentiment. However, local currency gave up most of its intraday session gains, as anxiety remained among the traders with report stating that India’s foreign-exchange reserves are shrinking fast and may soon reach a level that could hamper the central bank’s ability to defend the rupee. On the global front, dollar rose towards a 10-week high against a basket of other currencies on Monday as concerns about global growth pervaded markets.
Finally, the rupee ended at 73.45, 2 paise stronger from its previous close of 73.47 on Friday. The currency touched a high and low of 73.53 and 73.32 respectively. The reference rate for the dollar stood at 73.41 and for Euro stood at 83.69 on October 29, 2018. While the reference rate for the Yen stood at 65.62, the reference rate for the Great Britain Pound (GBP) stood at 94.26. The reference rates are based on 12 noon rates of a few select banks in Mumbai.
