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Rupee ends fairly stronger against greenback

21 Dec 2021 Evaluate

Indian rupee ended higher against dollar on Tuesday as banks persistently sold the greenback on behalf of corporate entities and possibly for overseas investors looking to participate in Indian firms’ fund-raising plans. Dollar-selling interventions by the Reserve Bank of India in the wake of recent volatility in the rupee also boosted the traders’ sentiments. Additional support came in with Joint Secretary in the Department of Commerce Amitabh Kumar’s statement that Indian exports showed a turnaround after December last year and are still going strong, while global trade took a hit during the COVID-19 pandemic. Healthy gains in Indian equity markets also supported rupee. On the global front, a rebound in global risk appetite pushed the British pound slightly higher versus the dollar on Tuesday, after UK Prime Minister Boris Johnson cautioned that further lockdown measures may be needed.

Finally, the rupee ended 75.59 (Provisional), stronger by 30 paise from its previous close of 75.90 on Monday. The currency touched a high and low of 75.74 and 75.41 respectively.

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