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Rupee depreciates against dollar tailing lower equity markets

23 Apr 2013 Evaluate

Following weak local equity markets, Indian rupee depreciated against greenback amid the increasing dollar demand from oil importers and banks. Meanwhile, gold and oil prices are also up, so investor’s sentiments are slightly negative. However, euro was trading firm against dollar, which capped domestic currency’s losses to an extent. Investors were still hopeful of some bunched up inflows, which may provide support to the Indian rupee.

The partially convertible currency is currently trading at 54.34, weaker by 20 paise from its previous close of 54.14 on Monday. The currency has touched a high and low of 54.38 and 54.28 respectively. The Reserve Bank of India's (RBI) reference rate for the dollar stood at Rs 54.16 and for Euro it stood at Rs 70.70 on April 22, 2013. While, the RBI’s reference rate for the Yen stood at 54.31, the reference rate for the Great Britain Pound (GBP) stood at 82.4522. The reference rates are based on 12 noon rates of a few select banks in Mumbai.

Date

1US$

1GBP

April 22, 2013

54.16

82.4522

April 18, 2013

54.02

82.4306

RBI-Reference rate

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