Rupee weakens on strengthening of American currency overseas

Indian rupee weakened against US dollar on Monday amidst strengthening of American currency overseas. Rupee fell further by tracking weakness in the domestic as well as global equities as investors grew increasingly anxious about the economic impact of China’s spreading Coronavirus outbreak.

Nevertheless, easing crude prices and foreign fund inflows supported the domestic unit and restricted its downfall. Foreign Institutional Investors (FIIs) bought shares worth Rs 659.11 crore on Friday, exchange data showed.

On the global front, Yuan fell in offshore trade to its lowest level in three weeks as the death toll in China from the spread of a new coronavirus caused mounted worries among the authorities which are struggling to contain the outbreak.

The partially convertible currency is currently trading at 71.41, weaker by 8 paise from its previous close of 71.33 on Friday. The currency touched a high and low of 71.5100 and 71.4050, respectively. The reference rate for Dollar and Euro stood at 71.24 and 78.69, respectively on January 24, 2020.