India pushing Rupee as next global trade instrument
It is not just Western sanctions on Russia that accelerated the trend to circumvent the dollar, but the strength of the currency in the past year has also posed a challenge.
The rupee depreciated by 5 paise to 65.06 against the dollar on Monday after renewed demand for the US currency from importers.
The dollar made headway against the euro after Angela Merkel’s attempts to form a new government for Europe’s biggest economy collapsed, plunging Germany into a crisis. A subdued start at domestic stock markets cast its shadow, traders said.
On Friday, the rupee had bounced back in style to end at a one-week high of 65.01 after Moody’s upgraded India’s sovereign credit rating.
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The benchmark BSE Sensex fell by 54.59 points, or 0.16 per cent, to 33,288.21 in early session on Monday.
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