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Rupee resumes losing streak ahead of GDP data release

30 Aug 2013 Evaluate

The Indian rupee resumed its losing streak after a sharp jump on Thursday, amid increased month end dollar demand from banks and importers. Investors were trading cautiously ahead of the crucial GDP data set to be released later in the day, which is expected to grow at 4.7% in the April-June quarter, lower than its decade-low growth of 5% seen in the last fiscal year. Dollar strength against other currencies in the global markets on upbeat US economic growth data too pressurized the local unit. However, positive local equity markets were providing some support to the domestic currency. Meanwhile, international oil prices fell below $115 a barrel, putting pressure on the currency on reduced chances of a major disruption in Brent crude supply with the delayed action on Syria.

The partially convertible currency is currently trading at 66.83, weaker by Re 25 from its previous close of 66.58 on Thursday. The currency has touched a high and low of 67.43 and 66.61 respectively. The Reserve Bank of India’s (RBI) reference rate for the dollar stood at 67.70 and for Euro it stood at 90.02 on August 29, 2013. While, the RBI’s reference rate for the Yen stood at 69.22, the reference rate for the Great Britain Pound (GBP) stood at 105.1406. The reference rates are based on 12 noon rates of a few select banks in Mumbai.

Date1US$1GBP

August 29, 2013

67.70105.1406

August 28, 2013

68.36

106.0281
(RBI-Reference rate)

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