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Rupee ends higher against dollar on Wednesday

30 Aug 2023 Evaluate

Indian Rupee ended higher against the US dollar on Wednesday amid FII inflows into the capital market. Traders got support as RBI data showed that interrupting a two-month streak of decline, outward foreign direct investment (FDI) rose sequentially to $1.85 billion in July over $1.07 billion in June, an increase of 73 per cent. Investors overlooked CARE Ratings stating that the erratic monsoon, which is affecting sowing, and global developments will keep the food inflation at elevated levels and would also hit the demand in rural India owing to lower income and inflation. On the global front, U.S. dollar on Wednesday clawed back some of the previous session's sharp declines as investors looked ahead to more labour market data for clues on the path for Federal Reserve policy.

Finally, the rupee ended at 82.72 (Provisional), stronger by 8 paise from its previous close of 82.80 on Tuesday. The currency touched a high and low of 82.81 and 82.66 respectively.

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