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Rupee tumbles against dollar on Wednesday

08 Mar 2023 Evaluate

Indian rupee tumbled against dollar on Wednesday as a strong dollar in the overseas market weighed on investor sentiments. Traders worried about future interest rate hikes. Besides, a private report stated that like all emerging markets that rely upon the rest of the world for commodities and capital, India has spent the last two years battling the twin challenges posed by more expensive raw materials and a stronger dollar. On the global front, dollar scaled multi-month highs against most other major currencies on Wednesday, after Federal Reserve Chair Jerome Powell warned that U.S. interest rates might need to go up even faster and higher than expected to rein in stubborn inflation.

Finally, the rupee ended at 82.03 (Provisional), weaker by 11 paise from its previous close of 81.92 on Monday. The currency touched a high and low of 82.29 and 81.98 respectively.

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