Indian rupee ended marginally weaker against the US dollar on Monday, on increased demand for the greenback from importers and banks. Traders were worried as government data showed that the production of eight infrastructure sectors slowed down to 4.3% in March against 12.6% in the year-ago period. Some concern also came as India's foreign exchange (forex) reserves dipped by $3.27 billion to $600.42 billion for the week ended April 22, registering the seventh straight week of fall, as the Reserve Bank of India (RBI) appears to keep selling dollars to prevent a slide in the value of rupee amid the ongoing Russia-Ukraine conflict. However, downfall remain capped as India's manufacturing sector activities witnessed faster growth in April amid quicker increases in production as well as factory orders, and renewed expansion in international sales. The seasonally adjusted S&P Global India Manufacturing Purchasing Managers' Index (PMI) rose from 54.0 in March to 54.7 in April. On the global front, dollar rose back towards a 20-year high on Monday as the euro struggled around the $1.05 mark, with investors preparing for a busy week of central bank meetings including a likely Federal Reserve interest rate hike.
Finally, the rupee ended at 76.52 (Provisional), weaker by 2 paise from its previous close of 76.50 on Friday. The currency touched a high and low of 76.52 and 76.35 respectively.
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