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Indian rupee weakened against US dollar on Monday, weighed down by a weak trend in domestic equities with caution ahead to the US Federal Reserve's policy meeting this week. Moreover, surging crude oil prices and a widening trade deficit have also weighed on market sentiments. India’s merchandise trade deficit rose to a 10-month high of $24.16 billion in August, higher than the expected $21 billion. However, Foreign Institutional Investors were net buyers in the capital market as they purchased shares worth Rs 164.42 crore, while Domestic Institutional Investors net bought shares to the tune of Rs 1,938.57 crore on Friday, exchange data showed.

The partially convertible currency is currently trading at 83.21, weaker by 5 paise from its previous close of 83.16 on Friday. The currency touched a high and low of 83.23 and 83.0925 respectively.