Extending losses for the second straight session, Indian rupee ended considerably lower against dollar on Tuesday, on account of sustained dollar demand from importers and banks. Traders were worried as India reported 31,222 new cases of Covid-19 and 290 deaths from the disease in 24 hours. Some cautiousness came in as a private report projected a real gross value added (GVA) growth of 7 to 8 per cent year-on-year in the second quarter of current fiscal year versus 20.1 per cent growth in 1Q FY22. It said estimates suggest some moderation in economic activity index (EAI)-GVA growth in July, largely on account of weaker fiscal spending. Further, a broad strengthening of the US dollar put pressure on the home currency. On the global front, Sterling dipped for a second consecutive day against a broadly stronger dollar on Tuesday, adding to losses sustained at the start of the week on stuttering economic momentum in Britain.
Finally, the rupee ended 73.42, weaker by 32 paise from its previous close of 73.10 on Monday. The currency touched a high and low of 73.44 and 73.12 respectively.
