Indian rupee extended losses to breach 64 to a dollar amid worries about increase in funding weighing on current account deficit in case fund flows taper out of emerging markets. However, rupee recovered marginally from its record lows in the late morning session as Reserve Bank of India (RBI) has reportedly intervened in the foreign exchange market to stem the rupee slide, which touched fresh all time lows in early trade today. Other than that, melting domestic stock market and dollar's strength against other major currencies overseas on expectation that the Federal Reserve will soon taper its bond-buying program weighed on the local currency. Meanwhile, Rating agency Moody's said that, while the rupee depreciation was a new variable for the economy, the factors underpinning it have been incorporated in its investment grade rating for India.
The partially convertible currency is currently trading at 63.75, weaker by 62 paise from its previous close of close at 63.13 on Monday. The currency has touched a high and low of 64.11 and 63.50 respectively. The Reserve Bank of India’s (RBI) reference rate for the dollar stood at 62.34 and for Euro it stood at 83.06 on August 19, 2013. While, the RBI’s reference rate for the Yen stood at 63.83, the reference rate for the Great Britain Pound (GBP) stood at 97.3721. The reference rates are based on 12 noon rates of a few select banks in Mumbai.
| Date | 1US$ | 1GBP |
August 16, 2013 | 61.81 | 96.56 |
August 14, 2013 | 61.51 | 94.98 |
(RBI-Reference rate)
