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Rupee weakens against US dollar on Monday

14 Mar 2022 Evaluate

Indian rupee weakened against the US dollar on Monday. Traders were worried as Reserve Bank of India deputy governor Michael Patra said India's growth story remains as weak as it was during the 2013 taper tantrum and recent geopolitical tensions in Ukraine and Russia are further likely to hurt a recovery. Continuing their selling spree for the sixth straight month, overseas investors have pulled out a net Rs 45,608 crore from the Indian markets in March so far also impacted traders' sentiments. Meanwhile, India is working out a mechanism to facilitate trade with Russia using local currencies, with a decision expected as early as next week. On the global front, yen slid to a new five-year low on Monday, ahead of a bumper week of central bank meetings around the world which will almost certainly reaffirm the Bank of Japan's position as one of the last dovish central banks standing.

The partially convertible currency is currently trading at 76.55, weaker by 11 paise from its previous close of 76.44 on Friday. The currency touched a high and low of 76.63 and 76.52 respectively.

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