Rupee weakens against US dollar on Wednesday
The rupee weakened against the US dollar on Wednesday with investor caution over a potential global trade war stemming from US President Donald Trump’s reciprocal tariff plans. Further, foreign fund outflows and rising crude prices have also dampened rupee sentiments. Foreign institutional investors offloaded equities worth Rs 5,901.63 crore on a net basis on Tuesday, exchange data showed. However, a rise in forex reserves and forex market interventions by the RBI helped to reduce volatilities in the rupee. The country's forex reserves rose by $4.529 billion to $658.8 billion during the week ended March 21, the RBI said on Friday. The currency markets were closed yesterday for the annual account closing of banks.
The partially convertible currency is currently trading at 85.60, weaker by 10 paise from its previous close of 85.50 on Friday. The currency touched a high and low of 85.73 and 85.5950 respectively.
