Rupee falls against dollar on Wednesday

Indian rupee ended lower against dollar on Wednesday as a muted trend in domestic equities and sustained foreign fund outflows weighed on investor sentiments. Traders were concerned as the World Bank increased its retail inflation forecast for India for 2023-24 to 5.9 per cent from the 5.2 per cent estimate made in April. Investors paid no heed towards the Reserve Bank of India’s (RBI) monthly data report on ‘India’s International Trade in services’ showing that India's services exports surged 8.4% year-on-year to $28,719 million in August 2023, while imports of services during August 2023 fell 0.8% to $15,103 million. On the global front, the rouble steadied on Wednesday, trading close to the 100 level against the dollar it breached in the previous session, with the market waiting to see whether Russian authorities intervene.

Finally, the rupee ended at 83.24 (Provisional), weaker by 4 paise from its previous close of 83.20 on Tuesday. The currency touched a high and low of 83.27 and 83.19 respectively.