Rupee weakened against the US dollar on Thursday, tracking weak domestic equities as worries about the economic impact from the corona virus outbreak in China continued to weigh on sentiment and ahead of the Union Budget that will be released later this week. Meanwhile, market participants will be also keeping an eye on GDP number that will be released on Friday. Further, a slump in the Indian rupee tracking weakness in other Asian currencies after the US Federal Reserve kept its key policy rates unchanged at 1.5-1.75 percent. Moreover, foreign fund outflows too weighed on the domestic currency, though easing crude oil prices supported the local unit and capped its losses. Foreign Institutional Investors (FIIs) sold shares worth Rs 1,014.27 crore on Wednesday, exchange data showed.
The partially convertible currency is currently trading at 71.45, weaker by 18 paise from its previous close of 71.27 on Wednesday. The currency touched a high and low of 71.4750 and 71.3900 respectively. The reference rate for the dollar stood at 71.32 and for Euro stood at 78.62 on January 28, 2020. While the reference rate for the Yen stood at 65.41, the reference rate for the Great Britain Pound (GBP) stood at 93.09.
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