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Rupee ends weaker on dollar strength overseas

21 Feb 2019 Evaluate

Indian rupee ended weaker against the US dollar on Thursday, on the back of consistent demand for the greenback from state-run banks and importers. Investors failed to get solace with Prime Minister Narendra Modi’s statement that the Indian economy is based on sound fundamentals and will in the near future double in size to $5 trillion. Traders even overlooked a private report stating that India will remain the fastest growing major economy, much ahead of China, in the next decade 2019-28. The rupee’s losses were mainly caused by a firm dollar against some global currencies overseas. On the global front, dollar inched up on Thursday after minutes from the Federal Reserve's last meeting revived expectations for a possible US rate hike this year while investors shifted their focus back to trade issues for fresh directional cues.

Finally, the rupee ended at 71.24, 14 paise weaker from its previous close of 71.10 on Wednesday. The currency touched a high and low of 71.29 and 70.91 respectively. The reference rate for the dollar stood at 71.15 and for Euro stood at 80.62 on February 21, 2019. While the reference rate for the Yen stood at 64.24, the reference rate for the Great Britain Pound (GBP) stood at 92.72.  

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