Rupee ends at four-month low against US dollar ahead of Fed decision
The rupee ended at 65.21 a dollar—a level last seen on 16 November 2017, down 0.02% from its Tuesday’s close of 65.20.business Updated: Mar 21, 2018 18:24 IST
The Indian rupee closed at a four-month low against the US dollar ahead of the US Federal Reserve’s policy statement due later on Wednesday.
The home currency ended at 65.21 a dollar—a level last seen on 16 November 2017, down 0.02% from its Tuesday’s close of 65.20. The rupee opened at 65.23 a dollar and touched a high and a low of 65.19 and 65.23 respectively.
The US Fed is expected to raise interest rates on Wednesday, and thereafter likely to go for two more rate hikes this year.
Finance ministry officials discussed government borrowing plan for FY19 with primary dealers. Bonds with shorter tenor will boost demand and lower mark-to-market losses, a government official told Bloomberg.
The 10-year bond yield ended at 7.583% compared to its previous close of 7.618%. Bond yields and prices move in opposite directions.
So far this year, the rupee has fallen 2%, while foreign investors have bought $1.60 billion in equity and sold $310.80 million in debt market.