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Rupee concludes weaker on dollar demand from importers
Apr-08-2021

Indian rupee ended weaker against dollar on Thursday with fresh dollar demand by banks and importers. Investors were concerned as International Monetary Fund (IMF) stated India's debt-to-GDP ratio increased from 74 percent to 90 percent during the COVID-19 pandemic, noting that it expects this to drop down to 80 percent as a result of the country's economic recovery. Traders paid no heed toward Chief Economist of the International Monetary Fund (IMF) Gita Gopinath’s statement that the Reserve Bank of India (RBI)’s quantitative easing measures are a welcome move. Gopinath also said that this fiscal stance is also appropriate for India overall and that it is good that support isn’t being pulled back. On the global front, dollar traded near its lowest in more than two weeks versus major peers on Thursday, tracking Treasury yields lower, after minutes of the Federal Reserve's March policy meeting offered no new catalysts to dictate market direction.

Finally, the rupee ended 74.58, weaker by 11 paise from its previous close of 74.47 on Wednesday. The currency touched a high and low of 74.93 and 74.19 respectively. The reference rate for the dollar stood at 73.50, and for Euro stood 86.09 on March 31, 2021. While the reference rate for the 100 Yen stood at 66.36, the reference rate for the Great Britain Pound (GBP) stood at 100.95.

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