Indian rupee weakened against the US dollar on Wednesday as strengthening of the American currency against other currencies overseas along with rising crude oil prices. Rupee fell further by unabated foreign fund outflows and weak domestic equities tracking tepid cues from global markets. Foreign institutional investors (FIIs) remained net sellers in the capital market, pulling out Rs 923.94 crore on Tuesday, according to provisional exchange data. Meanwhile, the Reserve Bank of India’s decision to transfer a record Rs 1.76 trillion dividend and surplus reserves to the government restrict the downfall of rupee. On the global front, the dollar was pressured again as concerns the Sino-US trade war would drag on and severely hurt economic growth led to yet another slide in US bond yields.
The partially convertible currency is currently trading at 71.61, weaker by 13 paise from its previous close of 71.48 on Tuesday. The currency touched a high and low of 71.6350 and 71.4600 respectively. The reference rate for the dollar stood at 72.18 and for Euro stood at 80.47 on August 26, 2019. While the reference rate for the Yen stood at 68.61, the reference rate for the Great Britain Pound (GBP) stood at 88.59.
