Continuing previous session's losses, Indian rupee ended weaker against the US dollar on Thursday, on increased demand for the greenback from importers and banks. Besides, losses in the local equity market also dampened sentiments. Traders were worried US Fed has hinted that it will begin to taper its asset purchases programme as soon as this year. This seems to have roiled the sentiment in emerging markets as the dollar traded near its highest in three months versus major peers. Sentiments were also fragile as Fitch Ratings decreased India's GDP outlook for the current financial year (FY22) to 10 percent from 12.8 percent earlier, citing a sluggish recovery following the second wave of COVID-19 as a reason. On the global front; sterling eased against both the dollar and the euro on Thursday, trading within recent ranges as it pointed to falling volatility levels.
Finally, the rupee ended 74.71, weaker by 9 paise from its previous close of 74.62 on Wednesday. The currency touched a high and low of 74.84 and 74.65 respectively.
