Indian Rupee ended higher against the US dollar on Wednesday as buying in domestic equities bolstered investor sentiment. Traders got support after International Monetary Fund (IMF) projected India’s retail inflation to ease to 4.9 per cent in FY24 from 6.7 per cent in FY23, and the current account deficit to come down to 2.2 per cent of GDP from an estimated 2.6 per cent a year ago. However, it slashed its economic growth forecast for India by 20 basis points (bps) to 5.9 per cent for 2023-24 (FY24), citing lesser scope for pent-up demand due to historical revisions to data. On the global front, sterling held steady against the dollar and dipped against the euro on Wednesday as traders waited for key U.S. inflation data as well as comments from Bank of England governor Andrew Bailey.
Finally, the rupee ended at 82.09 (Provisional), stronger by 3 paise from its previous close of 82.12 on Tuesday. The currency touched a high and low of 82.11 and 82.01 respectively.
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