Rupee ends weaker after Government refuse a report of currency devaluation

Indian rupee ended a two-week low on Thursday after a Finance Ministry official denied the report stating that the government may discuss a plan to devalue the currency.  Sentiments also remained down with reports that in September, rainfall fell 15 per cent below average, which could mean the season will end up in deficit. Sustained demand for US dollar from banks and importers, also weighed on rupee sentiments. On the global front, yen strengthened against dollar as the Bank of Japan's monetary policy meeting next week took center stage with speculation about possible policy steps swirling, including a focus on negative rates over asset purchases.

Finally the rupee ended at 67.02, weaker by 13 paise from its previous close of 66.89 on wednesday. The currency touched a high and low of 67.07 and 66.82 respectively. The Reserve Bank of India’s (RBI) reference rate for the dollar stood at 67.02 and for Euro stood at 75.36 on September 15, 2016. While the RBI’s reference rate for the Yen stood at 65.58, the reference rate for the Great Britain Pound (GBP) stood at 88.70.The reference rates are based on 12 noon rates of a few select banks in Mumbai.