Indian rupee weakened against the US dollar on Wednesday amid rebound in the greenback. Traders were worried after Reserve Bank of India’s data showed net profit of the manufacturing, and the IT sector moderated in 2022-23. The net profit margin of the manufacturing sector declined to 8.7 per cent in 2022-23, against 10.6 per cent in 2021-22. Traders took note of report that Taiwan has an ‘enormous appetite’ to expand ties with India and firming up the proposed free trade agreement between the two sides will be a ‘big encouragement’ for Taiwanese companies to set up manufacturing bases in India. On the global front, the yen was under pressure against most other major currencies on Wednesday, even as Japanese authorities said they could intervene to prop it up, while the Aussie dollar dropped after data showed inflation eased in May.
Finally, the rupee ended at 82.04 (Provisional), weaker by 2 paise from its previous close of 82.02 on Tuesday. The currency touched a high and low of 82.06 and 81.97 respectively.