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Rupee ends lower against dollar on Monday

13 Feb 2023 Evaluate

Indian rupee ended considerably lower against the US dollar on Monday weighed down by gains in the greenback in the overseas markets and a muted trend in domestic equities. Traders got anxious as growth in factory output decelerated to a two-month low of 4.3 per cent in December as manufacturing dragged the overall growth in the Index of Industrial Production (IIP) even as mining and electricity production grew at a robust pace. Besides, RBI data showed India's foreign exchange reserves dropped by $1.494 billion to reach $575.267 billion as of February 3, snapping a three-week rising trend. On the global front, dollar edged toward a five-week high versus major peers on Monday as investors increased bets on the Federal Reserve keeping monetary policy tight for longer, while waiting for a U.S. consumer price report set for release the next day.

Finally, the rupee ended at 82.73 (Provisional), weaker by 15 paise from its previous close of 82.58 on Friday. The currency touched a high and low of 82.77 and 82.63 respectively.

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