Indian rupee weakened against the US dollar on Wednesday with caution after the government raised the fiscal deficit target above than that of FY22 in the Budget. Further, foreign fund outflows and stronger crude oil prices also weighed on the local unit. Foreign Institutional Investors (FIIs) were net sellers in the capital market as they offloaded shares worth Rs 21.79 crore on Tuesday, exchange data showed. However, firm domestic equities and weakness in the American currency limited losses in domestic currency.
The partially convertible currency is currently trading at 74.92, weaker by 10 paise from its previous close of 74.82 on Tuesday. The currency touched a high and low of 74.9325 and 74.7150 respectively.
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