Indian rupee weakened against the U.S. dollar on Tuesday weighed by persistent foreign capital outflows. The foreign institutional investors were the net sellers on Monday’s session, offloading securities worth Rs 3,911.68 crore. Further, investors overlooked data released by the Controller General of Accounts (CGA), which showed that the government has met its fiscal deficit target of 4.4% of gross domestic product (GDP) for FY 2025-26 (FY26). The government’s fiscal deficit for 2024-25 was 4.8% of the GDP. The fiscal deficit for the previous financial year was estimated to be at Rs 15,68,936 crore, which was revised down to Rs 15,58,492 crore, as presented to Parliament in February by the government. On the global front, the British pound has strengthened against the U.S. dollar on Tuesday amid hopes of easing West Asia tensions.
Finally, the rupee ended at 95.37 (Provisional), weakened by 18 paise from its previous close of 95.19 on Monday. The currency touched a high and low of 95.37 and 95.03 respectively.
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