Rupee ends modestly stronger against dollar

Indian rupee ended stronger against dollar on Tuesday taking its winning streak for third straight session on continued dollar selling by banks and exporters. The domestic currency was looking strong from the very beginning; however gains remained capped due to losses in domestic equity market. Investors got some comfort with Prime Minister Narendra Modi’s statement that India will live up to the global expectation of being a bright spot for growth with requisite policy as also administrative reforms on a sustained basis. On the global front, dollar rose against a basket of currencies on Tuesday, as European investors returned from an Easter break, with the focus on a speech by Federal Reserve chair Janet Yellen who could lay the ground for interest rates hikes later this year.

Finally, the rupee ended at 66.54, 3 paise stronger from its previous close of 66.57 on Wednesday. The currency touched a high and low of 66.60 and 66.46 respectively. The Reserve Bank of India’s (RBI) reference rate for the dollar stood at 66.55 and for Euro stood at 74.47 on March 29, 2016. While the RBI’s reference rate for the Yen stood at 58.58, the reference rate for the Great Britain Pound (GBP) stood at 94.6654. The reference rates are based on 12 noon rates of a few select banks in Mumbai.