Dollar closed at 65.2100 against opening at 65.4200. Dollar fell after opening little changed Wednesday as weakness in dollar may have led to exporters and big corporate to sell dollar positions. Germany's economic output accelerated to growth of 0.8% in the third quarter, Tuesday, fastest pace in over six years. It exceeded market expectations of a steady growth of 0.6% from the previous session. While, German retail inflation remained steady at 1.6% from the previous session. Adding to that, Italy's economy grew a firm 0.5% in the third quarter, slightly above market expectations of 0.4%, supported by exports and domestic demand. In the local front, India's trade deficit widened to 35-month high of $14.02 billion in October as exports on year dropped for the first time since July 2016, government data showed.
US Bureau of Labor Statistics is scheduled to release US retail inflation figures later today for the month of October.
BSE Sensex closed lower by 181.43 points, or 0.55%, to 32,760.44, while the Nifty 50 fell 68.55 points, or 0.67%, to close at 10,118.05.
INTERNATIONAL
Asian stocks slipped after weaker crude oil prices took a toll on Wall Street, while the euro kept big gains after enjoying a boost from robust German economic growth.
Oil prices fell over 1 percent , continuing Tuesday's slide after the International Energy Agency cast doubts over the past few months' narrative of tightening fuel markets.
Euro zone’s annual economic growth rate outstripped that of the United States in the third quarter setting up 2017 as the best year for the currency area since financial markets crashed a decade ago.
Japan’s economy grew faster than expected in the third quarter due to strong exports, posting the longest period of uninterrupted growth in more than a decade.
Gold prices eased in Asia on Wednesday as investors continue to see uncertainty about next year's outlook for interest rates in the U.S. and Europe.