Rupee weakens against US dollar on Monday
The Indian rupee weakened against the US dollar on Monday amid a strengthening American currency and foreign fund outflows from the Indian capital market. Foreign institutional investors sold equities worth Rs 5,104.22 crore on a net basis on Friday, exchange data showed. While the latest RBI data released on Friday showed India's forex reserves dropping $3.049 billion to $699.736 billion in the week ended July 4. Rupee fell further on weak domestic equities with caution after US President Donald Trump threatened to impose a 30% tariff on imports from the European Union and Mexico beginning August 1. Investors are now awaiting the US inflation data for June due on Tuesday for more cues on the Federal Reserve's interest rate path.
The partially convertible currency is currently trading at 85.98, weaker by 18 paise from its previous close of 85.80 on Friday. The currency touched a high and low of 86.03 and 85.9250 respectively.
