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Rupee ends lower against greenback

01 Aug 2024 Evaluate

Indian rupee ended weaker against dollar on Thursday amid a rise in demand for the dollar and an increase in crude oil prices. Traders remained cautious as India's manufacturing sector growth eased in the month of July, amid slightly softer increases in new orders and output. According to the survey report, the seasonally adjusted HSBC India Manufacturing Purchasing Managers’ Index (PMI) eased to 58.1 in July 2024 as against 58.3 in June 2024. However, the latest reading was above the series long-run average and one of the highest seen in recent years. Some concern also came as the Ministry of Commerce & Industry’s latest data showed that the output of eight core industries slowed down to 4 percent in June 2024 from 8.4 percent in the same period last year, due to a decline in the output of crude oil, and refinery products. On the global front, the U.S. dollar was soft on Thursday after the Federal Reserve opened the door for an interest rate cut in September, helping keep the yen pinned near its highest since March in the wake of a hawkish pivot from the Bank of Japan.

Finally, the rupee ended at 83.73 (Provisional), weaker by 5 paise from its previous close of 83.68 on Wednesday. The currency touched a high and low of 83.75 and 83.65 respectively.


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