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Rupee strengthens on persistent drop in crude prices, fresh foreign fund inflows

19 Dec 2018 Evaluate

Indian rupee strengthened against US dollar on Wednesday on persistent drop in crude prices amid fresh foreign fund inflows and sustained selling of the American currency by exporters and banks. Besides, the dollar’s weakness against some currencies overseas ahead of US Federal Reserve’s policy meet outcome later in the day also supported the rupee. Expectation is that the Federal Reserve could consider raising rates by 25 bps but stance of the central bank going ahead will be important to watch. On the global front, the safe-haven yen and the Swiss franc held a firm tone as an overnight plunge in oil prices provided another stark reminder of the dimming prospects for the global economy.

The partially convertible currency is currently trading at 70.12, stronger by 32 paise from its previous close of 70.44 on Tuesday. The currency touched a high and low of 70.2300 and 69.8650 respectively. The reference rate for the dollar stood at 71.19 and for Euro stood at 80.75 on December 18, 2018. While the reference rate for the Yen stood at 63.21, the reference rate for the Great Britain Pound (GBP) stood at 89.88.

Date1US$1GBP
December 18, 2018 71.194089.8829
December 17, 201871.673090.1981

(Reference Rate)

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