Rupee ends slightly weaker on Monday

Indian rupee pared all of its gains and ended marginally weaker against dollar on Monday, due to fresh demand for the American currency from banks and importers. Investors were worried with Economic think-tank NCAER’s report that the country's GDP growth is likely to decline to 4.9 per cent in the second quarter of this fiscal due to sustained slowdown in virtually all the sectors. Some anxiety also came as India’s merchandise exports contracted by 1.11% in October 2019 as compared to same period of last year, mainly on account of a significant dip in shipments of petroleum, carpet, leather products, rice and tea. Trade deficit, gap between imports and exports, narrowed to $11.01 billion in October from $18.0 billion a year ago. Besides, lackluster trade in local equity markets weighed on the rupee. On the global front, euro edged higher against the dollar on Monday, on expectations that Washington and Beijing can soon sign off on a deal to end a trade war that has been a drag on global economic growth.

Finally, the rupee ended at 71.84, 6 paise weaker from its previous close of 71.78 on Friday. The currency touched a high and low of 71.86 and 71.59 respectively. The reference rate for the dollar stood at 71.71 and for Euro stood at 79.04 on November 14, 2019. While the reference rate for the Yen stood at 66.04, the reference rate for the Great Britain Pound (GBP) stood at 92.36.