Indian rupee strengthened against the US dollar on Wednesday tracking weakness of the American currency in the overseas market following US Fed Chairman Jerome Powell's dovish statement on the American economy. Besides, renewed optimism on global economy also kept sentiments positive. Moreover, firm domestic equities, strong Asian currencies, and sustained foreign portfolio investment flows into the Indian markets too added support to the domestic currency. Foreign Institutional Investors (FIIs) sold shares worth Rs 1,569.04 crore, while Domestic Institutional Investors (DIIs) were net buyers to the tune of Rs 216.67 crore in the Indian equity market on Tuesday, exchange data showed. However, lingering concerns over surging corona virus cases capped rupees gains.
The partially convertible currency is currently trading at 72.30, stronger by 16 paise from its previous close of 72.46 on Tuesday. The currency touched a high and low of 72.3600 and 72.2900 respectively. The reference rate for the dollar stood at 72.36, and for Euro stood 87.71 on February 22, 2021. While the reference rate for the Yen stood at 68.50, the reference rate for the Great Britain Pound (GBP) stood at 101.42.
