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Rupee ends weaker along with equities

25 Jul 2019 Evaluate

Indian rupee ended lower against US dollar on Thursday on account of sustained demand for dollar from banks and importers. Traders took note off report that India has improved its ranking on the global innovation index (GII) by five places to stand at 52nd in 2019 from 57th position last year and maintained its position as the top exporter of IT services. Besides, subdued sentiments in domestic equity markets weighed on the domestic currency. However, downside remain capped as some support came with India’s GDP is expected to grow at 6.8 per cent in FY20, making it a second straight year of sub-7% expansion. In FY19 too, the economy grew at a rate of 7%. On the global front, the euro sank to a new two-month low against the dollar on Thursday, as investors waited for the European Central Bank to signal another round of monetary easing, including a possible rate cut and the resumption of bond purchases.

Finally, the rupee ended at 69.04, 6 paise weaker from its previous close of 68.98 on Wednesday. The currency touched a high and low of 69.07 and 68.92 respectively. The reference rate for the dollar stood at 69.01 and for Euro stood at 76.96 on July 24, 2019. While the reference rate for the Yen stood at 63.83, the reference rate for the Great Britain Pound (GBP) stood at 85.88.

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