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Rupee weakens against US dollar on Tuesday

20 Aug 2019 Evaluate

Indian rupee weakened against the US dollar on Tuesday, driven by rising crude oil prices and cautious opening in domestic equities. Further, strengthening of the American currency against other currencies too weighed on market sentiment. Foreign institutional investors (FIIs) remained net sellers in the capital markets, pulling out Rs 305.74 crore on Monday, according to provisional exchange data. Meanwhile, investors are awaiting government intervention to revive the slowing economy. On the global front, the dollar held near a three-week high as expectations that the policymakers would unleash fresh stimulus measures globally drove an improvement in appetite for riskier assets and lifted yields on US government bonds.

The partially convertible currency is currently trading at 71.56, weaker by 13 paise from its previous close of 71.43 on Monday. The currency touched a high and low of 71.6650 and 71.5300 respectively. The reference rate for the dollar stood at 71.28 and for Euro stood at 79.14 on August 16, 2019. While the reference rate for the Yen stood at 67.17, the reference rate for the Great Britain Pound (GBP) stood at 86.32.

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