Indian rupee, prolonging last sessions’ weakness, depreciated on Friday, perturbed by the gloomy set of macro-economic data. On the macro-front, while H1 Fiscal deficit touched 76% of full-year target, factory output continued to shrink for third consecutive month in October. However, only positive surprise crept from core sector data, which grew at a year high of 8% in September against 3.7% growth in the previous month. Besides, dollar demand from banks and importers in view of its strength overseas, also weighed on the sentiment, though part of it was counterbalanced by positive local equities. On the global front, euro fell to a two-week low against the dollar on Friday, extending losses into a fifth straight session as slowing euro zone inflation bolstered expectations of looser monetary policy from the European Central Bank.
Finally the rupee ended at 61.71, weaker by 21 paise from its previous close of 61.50 on Thursday. The currency has touched a high and low of 61.95 and 61.71 respectively. The Reserve Bank of India’s (RBI) reference rate for the dollar stood at 61.90 and for Euro it stood at 83.87 on November 01, 2013. While, the RBI’s reference rate for the Yen stood at 63.21, the reference rate for the Great Britain Pound (GBP) stood at 99.1897. The reference rates are based on 12 noon rates of a few select banks in Mumbai.
