Indian rupee tumbled against dollar on Thursday ahead of the release of the US inflation data. Traders were worried as private report said that India's GDP growth will slow down to 5.5 per cent in FY24 from the 6.9 per cent expected in the current fiscal 2022-23. The slowdown was attributed to slowing global growth and tightening of monetary policies. It said India will be among the lesser affected economies in the world, but made it clear that the world's fifth largest economy is not immune from global headwinds. Traders failed to get any sense of relief with private report stating that with an average gross domestic product growth of 5.5 per cent in the past decade, India is already the fastest-growing economy in the world. It added that India is expected to overtake Japan and Germany to become the world’s third-largest economy by 2027. India is also gaining power in the world order. On the global front, dollar rose ahead of U.S. inflation data due later on Thursday while cryptocurrencies remained under pressure after crypto exchange Binance scrapped plans to rescue ailing rival FTX.
Finally, the rupee ended at 81.77 (Provisional), weaker by 30 paisa from its previous close of 81.47 on Wednesday. The currency touched a high and low of 81.92 and 81.54 respectively.
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