Indian rupee ended higher for third straight session against greenback on Friday owing to dollar sale by exporters and banks. Beside, healthy gains in the domestic equity markets also supported rupee sentiments. Rupee got support with the Reserve Bank's statement that it will ensure that system-level liquidity remains comfortable during 2021-22 in alignment with the stance of monetary policy, and monetary transmission continues unimpeded while maintaining financial stability. Meanwhile, RBI in its annual report for 2020-21 stated that the economic growth prospects essentially depend on how fast the country can arrest second wave of Covid-19 pandemic. While the economy has not moderated to the extent during first wave, surrounding uncertainties can act as a deterrent in the immediate period. On the global front; dollar strengthened further on Friday following its rise from more than four-month lows in recent sessions, as investors waited for U.S. inflation data to set the currency's direction.
Finally, the rupee ended 72.45, stronger by 15 paise from its previous close of 72.60 on Thursday. The currency touched a high and low of 72.49 and 72.31 respectively.
