Rupee continues upward march for second straight session

Continuing previous session gains, Indian rupee ended significantly higher against dollar on Tuesday, on persistent selling of the American currency by exporters. Traders were energized as India’s exports grew by 47.19 per cent to $35.17 billion in July on account of healthy growth in the outbound shipments of petroleum, engineering, and gems and jewellery. Imports during the month also rose by 59.38 per cent to $46.40 billion, leaving a trade deficit of $11.23 billion. Additional support also came as Finance Minister Nirmala Sitharaman said the government's net tax revenues grew 5 per cent in the fiscal year ended March 31, 2021. Also, healthy gains in domestic equity market also supported rupee. On the global front, sterling rose on Tuesday, helped by recent falls in COVID-19 infections in Britain and optimism around Britain's easing of lockdown restrictions.

Finally, the rupee ended 74.28, stronger by 6 paise from its previous close of 74.34 on Monday. The currency touched a high and low of 74.36 and 74.21 respectively.