USD/INR closed at 71.2825 against its opening at 71.43. The Indian rupee was lower against the US dollar market participants assessed the potential impact of the coronavirus on global growth. China's National Health Commission reported today that the death toll from COVID-19 was at 1,770 as on Sunday, up by 105 cases from the previous day. Further, Japan's economy shrank at the fastest pace in nearly six years in the December quarter. Fears of contraction in the current quarter due to potential impact of the fast-spreading coronavirus stoked fears of a recession in the world's third largest economy. Japans's GDP fell 6.3% annually in the quarter ended December. This was the first contraction in the GDP in 5 quarters. Last year, Japan hiked the sales tax which resulted in a decline in the consumer and business spending. On Sunday, Chinese Finance Minister Liu Kun said the government may cut down on unnecessary government expenses along with corporate tax cuts in order to boost production. Today, the People’s Bank of China offered loans at a lower rate for medium-term funding, and injected $28.62 bln of liquidity through medium-term lending facility.