Rupee weakens against US dollar in early trade on Monday
The Indian rupee weakened against the US dollar in early trade on Monday after Brent Crude oil surged above $105 per barrel after Israeli Prime Minister Benjamin Netanyahu warned that the conflict with Iran was not over, and the US President Donald Trump rejected Iran’s response to the US's peace proposal. Meanwhile, Prime Minister Narendra Modi urged citizens and businesses to revive work-from-home practices and conserve fuel to protect India's economy from a global energy crisis. Moreover, steep foreign fund outflows and declining foreign reserves are also adding pressure on the rupee. Foreign Institutional Investors offloaded equities worth Rs 4,110.60 crore on Friday, exchange data showed. Meanwhile, India's forex reserves dropped by $7.794 billion to $690.693 billion during the week ended May 1.
The partially convertible currency is currently trading at 95.19, weaker by 168 paise from its previous close of 93.51 on Friday. The currency touched a high and low of 95.20 and 94.87 respectively.
