Indian rupee ended significantly higher against dollar on Wednesday. Traders took solace with former RBI Governor Duvvuri Subbarao Rao’s statement that though Covid -19 and the subsequent lockdown left a trail of economic devastation on most countries, India can potentially build upon three positive aspects- push in the rural economy, stronger federalism and a huge consumption base. A weaker greenback in the overseas markets also supported the rupee. On the global front, dollar sunk to its lowest in more than two years in Asian trading on Wednesday and riskier currencies surged, as investors looked past the latest delay in U.S. fiscal stimulus and bet that global market risk appetite would increase in 2021.
Finally, the rupee ended at 73.31, 11 paise stronger from its previous close of 73.42 on Tuesday. The currency touched a high and low of 73.36 and 73.26 respectively. The reference rate for the dollar stood at 73.36, and for Euro stood 89.79 on December 29, 2020. While the reference rate for the Yen stood at 70.75, the reference rate for the Great Britain Pound (GBP) stood at 98.91.
