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Rupee ends lower amid strong dollar demand

20 Jul 2022 Evaluate

Indian rupee ended considerably weaker on Wednesday amid strong dollar demand from importers amid high crude oil prices. Traders were worried even after economic Affairs Secretary Ajay Seth stated that the rupee is managed well and there is nothing to be 'overtly' worried about the depreciation in the domestic currency against the US dollar. Meanwhile, according to private report India's central bank is prepared to sell a sixth of its foreign exchange reserves to defend the rupee against a rapid depreciation after it plumbed record lows in recent weeks. On the global front, Sterling steadied on Wednesday against the dollar as data showed British inflation climbed to its highest rate in 40 years, but only slightly above forecast.

Finally, the rupee ended at 80.05 (provisional), weaker by 13 paisa from its previous close of 79.92 on Tuesday. The currency touched a high and low of 80.05 and 79.89 respectively.

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