Indian rupee, shaving early morning losses, turned stronger against dollar on Tuesday, tailing huge gains of local equities after Reserve Bank of India, in its second quarter monetary policy review in 2013-14, delivered on much expected lines, by hiking 25 basis points and reducing the MSF rate by the same quantum. Further, the local equity markets sentiment improved after India’s Apex Bank increased the liquidity provided through term repos of 7-day and 14-day tenor from 0.25% of bank deposits to 0.5% with immediate effect. However, month-end dollar demand to some extent limited the further appreciation of Indian currency. On the global front, dollar inched up on Tuesday, but stayed near a nine-month trough as investors bet the Federal Reserve this week will set the course for its massive stimulus programme to be maintained into early next year.
The partially convertible currency is currently trading at 61.48, stronger by 5 paise from its previous close of 61.53 on Monday. The currency has touched a high and low of 61.72 and 61.43 respectively. The Reserve Bank of India’s (RBI) reference rate for the dollar stood at 61.50 and for Euro it stood at 84.88 on October 28, 2013. While, the RBI’s reference rate for the Yen stood at 63.01, the reference rate for the Great Britain Pound (GBP) stood at 99.4934. The reference rates are based on 12 noon rates of a few select banks in Mumbai.
| Date | 1US$ | 1GBP |
October 26, 2013 | 61.50 | 99.4934 |
October 25, 2013 | 61.62 | 99.9373 |
(RBI Reference Rate)
