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Rupee ends higher against dollar

21 Jan 2022 Evaluate

Indian rupee ended higher against the American currency on Friday, due to selling of the US currency by exporters and banks. Traders took some solace as India is inching toward a major milestone by opening its $1 trillion government bond market to more international investors, one of the most ambitious attempts to attract foreign inflows since the country liberalized its economy three decades ago. However, upside remain capped as government’s data showed that retail inflation for farm and rural workers rose to 4.78 percent and 5.03 percent respectively in December 2021, mainly due to higher price of certain food items. On the global front, dollar was on track for its best week in a month against major rivals on Friday, as the world's reserve currency held its ground amid a selloff of riskier assets across markets.

Finally, the rupee ended 74.43 (Provisional), stronger by 8 paise from its previous close of 74.51 on Thursday. The currency touched a high and low of 74.55 and 74.40 respectively.

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