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Rupee reverses two-day fall; ends stronger against dollar

26 Apr 2019 Evaluate

Reversing its two-session fall, the rupee bounced back to end higher against the US currency on Friday, on persistent selling of the American currency by exporters. Sentiments were optimistic with the Reserve Bank of India’s (RBI) data showing that bank credit rose by 14.19 percent to Rs 96.45 lakh crore while deposits grew 10.60 percent to Rs 125.30 lakh crore in the first fortnight ended on April 12. In the year ago fortnight, deposits were at Rs 113.29 lakh crore and advances stood at Rs 84.46 lakh crore. The dollar losing muscle against other currencies overseas along with an encouraging rally in domestic equities too supported the rupee recovery momentum. On the global front, euro hovered near its weakest level since May 2017 on Friday as traders waited to see whether United States GDP numbers due out later will reinforce signs of economic strength and send the dollar surging even higher.

Finally, the rupee ended at 70.02, 23 paise stronger from its previous close of 70.25 on Thursday. The currency touched a high and low of 70.22 and 69.97 respectively. The reference rate for the dollar stood at 70.14 and for Euro stood at 78.12 on April 26, 2019. While the reference rate for the Yen stood at 62.80, the reference rate for the Great Britain Pound (GBP) stood at 90.53.

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