Continuing previous session drubbing, Indian rupee concluded weaker against dollar on Wednesday. Traders were worried as World Bank slashed India's GDP forecast to 8.3 per cent for FY22, the fiscal year starting April 2021, as against its earlier estimate of 10.1 per cent. Some anxiety also came as India Ratings and Research warned that the burden of taxation, particularly indirect taxes, on households has worsened lately and is preventing them from spending more on consumption. However, downfall remain capped as India's exports grew by 52.39 per cent to $7.71 billion during the first week of this month on account of healthy growth in shipments in sectors including engineering, gems and jewellery and petroleum products. On the global front; dollar clung on to its recent small gains on Wednesday as traders looked to upcoming U.S. inflation data and a European Central Bank (ECB) meeting to gauge the pace of global recovery and policymakers' thinking about paring back stimulus.
Finally, the rupee ended 72.97, weaker by 8 paise from its previous close of 72.89 on Tuesday. The currency touched a high and low of 73.02 and 72.88 respectively.
