Rupee strengthened on Tuesday supported by the RBI’s move and fresh selling of dollars by banks and exporters on the back of lower dollar value in the overseas market. The dollar weakened against a basket of currencies overseas, as the US government could not avert a shutdown, a first in last 17 years. The domestic currency remained in upbeat mood since morning as the Reserve Bank announced to conduct open market operations (OMOs) by purchasing government securities for an aggregate amount of Rs 10,000 crore on October 7. In the global markets the dollar's weakness lifted the euro to an eight-month high, while its weakness offered some reprieve to the yen with Japanese government all set to raise the national sales tax in April.
Finally the rupee ended at 62.47, stronger by 13 paise from its previous close of 62.60 on Monday. The currency has touched a high and low of 62.60 and 62.14 respectively. The Reserve Bank of India’s (RBI) reference rate for the dollar stood at 62.35 and for Euro it stood at 84.53 on October 1, 2013. While, the RBI’s reference rate for the Yen stood at 63.51, the reference rate for the Great Britain Pound (GBP) stood at 101.2030. The reference rates are based on 12 noon rates of a few select banks in Mumbai.
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