Rupee weakens against US dollar on Thursday
Indian rupee weakened against the US dollar on Thursday even as the central bank, RBI had intervened aggressively. Persistent foreign fund outflows, significant uptrend in the US dollar index and 10-year Treasury bond yields have dampened rupee sentiments. Foreign Institutional Investors offloaded Rs 1,782.71 crore in the capital markets on net basis on Wednesday, exchange data showed. India's total gross Goods and Services Tax (GST) revenue grew 7.3% to Rs 1.77 lakh crore in December as compared to Rs 1.65 lakh crore in the same month a year ago, but declined 2.97% month-on-month indicating continuation of the slowdown. Meanwhile traders sought more clues on the US Federal Reserve's interest rate trajectory and US President elect Donald Trump's tariff policies.
The partially convertible currency is currently trading at 85.78, weaker by 14 paise from its previous close of 85.64 on Wednesday. The currency touched a high and low of 85.7875 and 85.6925 respectively.
