Indian rupee weakened against the US dollar on Friday, tracking heavy selling in domestic equities in line with global markets on fears that the corona virus outbreak will lead to recession in major economies. Besides, foreign fund outflows too put pressure on the domestic unit. Foreign institutional investors (FIIs) sold shares worth Rs 3,127.36 crore on Thursday, exchange data showed. Moreover, market participants will also be keeping an eye on third quarter GDP numbers that to be released later in the day. Though, easing crude oil prices and weakening of the American currency in the overseas market restricted the downfall to some extent. On the global front, the dollar nursed losses after its worst day against the euro in nearly two years, as the global spread of the corona virus fired up expectations for a US interest rate cut and pushed the hunt for yield elsewhere.
The partially convertible currency is currently trading at 71.93, weaker by 32 paise from its previous close of 71.61 on Thursday. The currency touched a high and low of 71.9850 and 71.8175 respectively. The reference rate for the dollar stood at 71.72 and for Euro stood at 77.97 on February 26, 2020. While the reference rate for the Yen stood at 64.97, the reference rate for the Great Britain Pound (GBP) stood at 93.16.
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