Continuing strong recovery momentum for the second day, Indian rupee ended higher against US dollar on Friday, on dollar selling by exporters and banks. The rupee sentiment was buoyed with report that Union Finance Minister Nirmala hoped the economy will start looking up in the second half of the current financial year as consumption rises and banks increase their lending operations. Traders also found some support with IHS Markit’s report that the steepest ever cut in tax that companies pay will improve relative competitiveness of India and should help boost corporate investment over the medium-term. On the global front, euro held at its lowest level in more than two years on Friday as quarter-end rebalancing flows boosted demand for the dollar, with investors unfazed by the latest political news out of the United States.
Finally, the rupee ended at 70.56, 32 paise stronger from its previous close of 70.88 on Thursday. The currency touched a high and low of 70.93 and 70.53 respectively. The reference rate for the dollar stood at 70.90 and for Euro stood at 77.66 on September 26, 2019. While the reference rate for the Yen stood at 65.87, the reference rate for the Great Britain Pound (GBP) stood at 87.67.
