Rising for third straight session, Indian rupee strengthen considerably to its highest level in nearly six months amid rising foreign fund inflows into the equity markets. Traders mood were upbeat with Reserve Bank of India (RBI) Governor Shaktikanta Das’ statement that the central bank has not exhausted its instruments or ammunition--whether on rate cuts or other policy actions--to deal with the impact of the coronavirus pandemic. He also said that the RBI wanted to keep its gun powder dry and hence opted for a status quo at the last policy review earlier this month. On the global front; Japanese yen hit session highs versus the dollar on Friday, buoyed by news that Prime Minister Shinzo Abe will resign, while the dollar dropped after the U.S. Federal Reserve said it would adopt an average inflation target.
Finally, the rupee ended at 73.39, 43 paise stronger from its previous close of 73.82 on Thursday. The currency touched a high and low of 73.87 and 73 .29 respectively. The reference rate for the dollar stood at 74.32 and for Euro stood at 87.91 on August 27, 2020. While the reference rate for the Yen stood at 70.09, the reference rate for the Great Britain Pound (GBP) stood at 98.14.
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