Rupee ends tad stronger ahead of April IIP, May CPI data

Indian rupee that snapped two consecutive sessions’ losing streak in previous session, ended stronger on Thursday on the back of gains in local equities on hopes of macro-economic data likely offering some cheer. It is widely anticipated that India’s factory output rose for the first time in April since January, to reflect healthy growth in core industries, while May CPI would ease. Nevertheless, late dollar selling by exporters on account of its weakness overseas, also aided to the sentiment for local unit. On the global front, dollar edged lower against a basket of major currencies on Wednesday for the first time in four sessions after traders dismissed expectations of an early Federal Reserve rate hike, while the yen advanced on few signs of further easing from the Bank of Japan.

Finally the rupee ended at 59.25, stronger by 2 paise from its previous close of 59.27 on Wednesday. The currency touched a high and low of 59.36 and 59.24 respectively. The Reserve Bank of India’s (RBI) reference rate for the dollar stood at 59.32 and for Euro stood at 80.30 on June 12, 2014. While, the RBI’s reference rate for the Yen stood at 58.13, the reference rate for the Great Britain Pound (GBP) stood at 99.6834. The reference rates are based on 12 noon rates of a few select banks in Mumbai.