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Rupee ends stronger against dollar

11 Mar 2019 Evaluate

Indian rupee ended stronger against dollar on Monday, due to increased selling of the American currency by exporters and banks. Local investors cheered the Economic Affairs Secretary Subhash Chandra Garg expressed confidence that fiscal deficit target of 3.4 per cent for 2018-19 would be met as shortfall in indirect tax collection would be compensated by lower expenditure. Traders also remained optimistic with Commerce and Industry minister Suresh Prabhu’s statement that the government has set a target of attracting $100 billion in foreign direct investments over the next two years. The minister said the government is conducting a sector analysis for FDI investments and is preparing suitable policies which will help in bringing foreign funds. Also, fresh capital inflows and an encouraging rally in domestic equities revived forex market sentiment. On the global front, dollar edged up on Monday, as investors took cover in the currency amid global growth concerns, while sterling extended its decline on an uncertain outlook over Britain's exit from the European Union.

Finally, the rupee ended at 69.89, 25 paise stronger from its previous close of 70.14 on Friday. The currency touched a high and low of 70.03 and 69.82 respectively. The reference rate for the dollar stood at 69.93 and for Euro stood at 78.57 on March 11, 2019. While the reference rate for the Yen stood at 62.93, the reference rate for the Great Britain Pound (GBP) stood at 90.79.

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