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Rupee weakens on increased demand for American currency from importers

05 Dec 2018 Evaluate

Indian rupee weakened against US dollar on Wednesday due to increased demand for the American currency from importers and firming global crude oil prices. Further, the dollar strengthening against major global currencies overseas also weighed on the domestic unit. In the stock market, benchmark indices Sensex and Nifty snapped their six-day winning streak amid profit booking in recently run up stocks ahead of RBI policy meet outcome, too added pressure on rupee. On the global front, the dollar trimmed some of its recent losses but remained under pressure on Wednesday, as an inversion in part of the Treasury yield curve raises concerns about a potential US slowdown.

The partially convertible currency is currently trading at 70.52, weaker by 3 paise from its previous close of 70.49 on Tuesday. The currency touched a high and low of 70.7500 and 70.4950 respectively. The reference rate for the dollar stood at 70.34 and for Euro stood at 80.07 on December 04, 2018. While the reference rate for the Yen stood at 62.21, the reference rate for the Great Britain Pound (GBP) stood at 89.64. The reference rates are based on 12 noon rates of a few select banks in Mumbai.

Date1US$1GBP
December 04, 201870.345589.6450
December 03, 201870.028089.5005

(Reference Rate)

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