The Indian rupee settled flat near record lows at 84.08 (provisional) against the US dollar on Wednesday, facing pressure from a stronger American currency as well as relentless outflow of foreign funds. Muted sentiment in domestic equity markets and volatile geopolitics ahead of the US Presidential election also kept investors on the sidelines. Indian shares gave up early gains to end marginally lower on Wednesday. The benchmark 30-share BSE Sensex ended the session down 138.74 points, or 0.17 percent, at 80,081.98 due to concerns over stretched valuations and continued selling by foreign institutional investors amid rising global uncertainties. The broader NSE Nifty index dropped 36.60 points, or 0.15 percent, to close at 24,435.50. At the interbank foreign exchange market, the domestic unit opened at 84.07 against the greenback and traded in a narrow range throughout the session. The unit finally settled at the previous session's closing level of 84.08 (provisional) against the dollar. Meanwhile, the International Monetary Fund (IMF) maintained its June growth rate projects for India in its latest World Economic Outlook (WEO). IMF stated that India is set to grow at 7% in the current fiscal year ending March 31, 2025 and 6.5% in the next fiscal year (FY2025-26). However, IMF cut its global growth forecast for next year and warned of accelerating risks from wars to trade protectionism, even as it credited central banks for taming inflation without sending nations into recession.
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