Indian Rupee ended higher against the US dollar on Wednesday tracking the weakness of the American currency in the overseas market. A positive trend in domestic equities also supported the Indian Rupee. Sentiments were positive amid a private reports stating that private investment in India is picking up in some sectors but will need a government push to sustain the pace. Besides, the finance ministry said that the multifaceted nature of the RBI’s regulatory actions, improved bank balance sheets, and attunement of the banking system to frequent interest rate cycles augur well for India’s financial stability and significantly reduce the probability of an SVB-like event from occurring in India. On the global front, U.S. dollar and the yen were steady on Wednesday, holding onto overnight gains as concerns over the U.S. banking sector and economy hit sentiment, while the Aussie slid after easing inflation suggested less pressure to raise interest rates.
Finally, the rupee ended at 81.74 (Provisional), stronger by 21 paise from its previous close of 81.95 on Tuesday. The currency touched a high and low of 82.20 and 81.92 respectively.
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