Indian rupee depreciated against dollar on Monday, on account of sustained dollar demand from importers and banks. Sentiments were fragile despite report that Foreign portfolio investors (FPI) have put in a net Rs 8,381 crore into Indian markets in first five trading sessions of November, with participants growing more confident in view of resumption of business activities and better than expected quarterly numbers, among others. Market participants took a note of report that Former Reserve Bank Governor Bimal Jalan has opined against a fresh fiscal stimulus to boost pandemic-hit economy saying it is more important to spend the amount already committed by the government than to increase the fiscal deficit target again. On the global front; Sterling edged up in early London trading on Monday after reaching a nine-week high versus the dollar overnight, as Democrat Joe Biden’s victory in the U.S. presidential elections saw global markets at new highs and riskier currencies gaining.
Finally, the rupee ended at 74.15, 7 paise weaker from its previous close of 74.08 on Friday. The currency touched a high and low of 74.17 and 73.83 respectively. The reference rate for the dollar stood at 74.05 and for Euro stood 87.51 on November 06, 2020. While the reference rate for the Yen stood at 71.52, the reference rate for the Great Britain Pound (GBP) stood at 97.20.
