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Rupee weakens against US dollar on Wednesday

16 Sep 2020 Evaluate

Indian rupee weakened against the US dollar on Wednesday ahead of the US Federal Reserve's policy decision. Moreover, continuous surging of corona virus (Covid-19) pandemic cases too added pressure on domestic currency. While, Indian Defense Minister Rajnath Singh said that the border dispute with China remains unresolved for now, and blamed China for violating the border agreement with India. Though, foreign institutional investors (FIIs) purchased shares worth Rs 1,170.89 crore on a net basis on Tuesday, according to provisional exchange data. On the global front, the US dollar and the yen both gained as traders finessed positions ahead of a US Federal Reserve policy decision, while the Chinese yuan held gains as the outlook brightened for the world’s second largest economy.

The partially convertible currency is currently trading at 73.77, weaker by 13 paise from its previous close of 73.64 on Tuesday. The currency touched a high and low of 73.7800 and 73.6100 respectively. The reference rate for the dollar stood at 73.38 and for Euro stood 86.93 on September 14, 2020. While the reference rate for the Yen stood at 69.20, the reference rate for the Great Britain Pound (GBP) stood at 94.07.

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