Rapid depreciation of the pound against the rupee

(Gujarat News Office) MUMBAI: The dollar closed three paise higher at the end of the day today after the dollar fluctuated against the rupee in the Mumbai currency market. The British pound fell sharply by 20 paise. The British pound opened at Rs 103.5 against the rupee in the morning and closed at Rs 105.15.

The British pound has seen a significant drop in value against the dollar globally, according to world market news. According to Bank of England sources, the British pound has seen a sharp retreat in the world market, with indications that lower interest rates will be maintained in Britain soon and that the government will not rush to raise interest rates, as well as easing monetary policy and bond buying. Its impact was also felt in the Mumbai currency market today on the British pound, currency market sources said.

Globally, the weakest of the G-10's various currencies has recently been the British pound, according to world market analysts.

Meanwhile, in the Mumbai currency market, the dollar opened at Rs 3.15 against the rupee at the beginning of the day. The dollar rose three paise today. Despite the bullish mood in the Mumbai Stock Exchange today, the rupee was weakening slightly instead of appreciating in the currency market. However, the dollar index against a basket of various currencies in the world market was on the decline.

The global dollar index fell 0.08 per cent today to 61.8 from 71.9. Meanwhile, the European currency, the euro, closed at around Rs 4.5 to Rs 7.30 at the end of the day after two-way fluctuations in the Mumbai currency market, market sources said. The Japanese yen closed 0.05 per cent higher against the rupee at the end of the day.

At the end of the day, the Chinese currency was trading at 0.5 per cent plus against the rupee, market sources said.