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Rupee ends almost flat against US dollar

06 Sep 2022 Evaluate

Indian Rupee ended almost flat against US dollar on Tuesday amid a lacklustre trend in domestic equities. Traders remained cautious as Finance Ministry in its report on ‘India's external debt’ has said that India's external debt rose by 8.2 per cent year-on-year to USD 620.7 billion as of March 2022. It stated while 53.2 per cent of it was denominated in the US dollar, Indian rupee-denominated debt, estimated at 31.2 per cent, was the second largest. Some concern also came with exchange data showed foreign institutional investors were net sellers in the capital market on Monday as they offloaded shares worth Rs 811.75 crore. However, some support came with Finance Minister Nirmala Sitharaman’s statement that while the necessary stimulus for growth would continue, her ministry and the Reserve Bank of India (RBI) would work on a pathway to maintain the growth momentum for the next 25 years in order to make India an advanced economy. On the global front, the dollar took a breather on Tuesday after a sweeping rally, easing slightly from milestone highs on the euro, yen and sterling, but not too far as recession stalks Europe, and US interest rates are poised for sharp rises.

Finally, the rupee ended at 79.77 (Provisional), stronger by 1 paisa from its previous close of 79.78 on Monday. The currency touched a high and low of 79.91 and 79.77 respectively.

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