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Rupee concludes lower against dollar

07 Sep 2020 Evaluate

Indian rupee depreciated significantly against dollar on Monday, on account of sustained dollar demand from importers and banks. Sentiment remained downbeat despite finance ministry in its Monthly Economic Review for August has said the country is witnessing a V-shaped pattern of recovery. Meanwhile, former Union finance minister P Chidambaram suggested that the government to borrow more to help stimulate demand and revive the country's Gross Domestic Product (GDP) growth. He also suggested some measures to raise money which include relaxing FRBM norms, accelerating disinvestment and borrowing money from global banks. On the global front; euro-dollar exchange rate steadied above $1.18 on Monday as traders took stock of the latest U.S. jobs data and prepared for the European Central Bank meeting on Thursday to see if policymakers will introduce yet more stimulus.

Finally, the rupee ended at 73.35, 21 paise weaker from its previous close of 73.14 on Friday. The currency touched a high and low of 73.13 and 72 .90 respectively. The reference rate for the dollar stood at 73.33 and for Euro stood 86.85 on September 04, 2020. While the reference rate for the Yen stood at 69.07, the reference rate for the Great Britain Pound (GBP) stood at 97.34.

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