Indian rupee weakened against the US dollar on Wednesday amid strong American currency after the rise in US inflation has fuelled expectations that the US Federal Reserve could tighten monetary policy sooner rather than later. Further, rising oil prices and concerns over surging of coronavirus infections in some parts of the world also weighed on rupee sentiments. While, Foreign institutional investors (FIIs) were net buyers in the capital market as they purchased shares worth Rs 113.83 crore on Tuesday, exchange data showed.
The partially convertible currency is currently trading at 74.56, weaker by 7 paise from its previous close of 74.49 on Tuesday. The currency touched a high and low of 74.6150 and 74.5275 respectively.
