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Rupee ends weak despite recovering from a three week low

25 May 2011 Evaluate

Indian Rupee weakened substantially on Wednesday in tandem with a shaky euro and lower Asian peers. Meanwhile, weak local share markets too weighed on the sentiment of the Rupee. The domestic currency after falling to a three week low level in the afternoon trade recovered on the back of some dollar selling by bank in light of strength in dollar overseas. On the global front, the euro fell on Wednesday, pressured by hedge funds and stop-loss offers as worries over Greece’s finances cast a pall over the single currency, bringing it closer to testing crucial support levels technically.

Finally the Rupee ended at 45.32, weaker by 12 paise from its previous close of 45.20 on Tuesday. It touched a high and low of 45.42 and low of 45.26 respectively. The Reserve Bank of India's reference rate for the US dollar stood at 45.38 and for Euro it stood at 63.70 on May 25, 2011. While, the RBI's reference rate for the Yen stood at 55.43 and the reference rate for the Great Britain Pound (GBP) stood at 73.3137. The reference rates are based on 12 noon rates of a few select banks in Mumbai.

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