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Rupee weakens against US dollar on Wednesday

12 Jan 2022 Evaluate

Indian rupee weakened against the US dollar on Wednesday despite strong gains in domestic equities following fund inflows from foreign Institutional Investors. Data showed Foreign Institutional Investors (FIIs) were net buyers in the capital market as they bought shares worth Rs 111.91 crore on Tuesday. Moreover, rising crude oil prices with threat of the Omicron variant of coronavirus and its impact on economic, have weighed on rupee sentiments. However, some losses were capped by weakness American currency after US Fed Chairman Jerome Powell stated that the Fed may take several months to make a decision on running down the central bank's $9 trillion balance sheet.

The partially convertible currency is currently trading at 73.99, weaker by 5 paise from its previous close of 73.94 on Tuesday. The currency touched a high and low of 74.0200 and 73.7800 respectively.


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