Indian rupee weakened against the US dollar on Friday, tracking strength in the American currency overseas after stronger-than-expected US inflation fuelled bets on aggressive interest rate hikes by 50 basis points next month. Moreover, weakness in domestic equities, sustained foreign fund outflows and elevated crude oil prices also adding pressure on domestic currency. On Thursday, meanwhile, the Reserve Bank of India kept the benchmark lending rate unchanged and said it will continue with the accommodative stance to revive and sustain growth on a durable basis. Foreign Institutional Investors (FIIs) remained net sellers in the capital market as they offloaded shares worth Rs 1,732.58 crore on Thursday, exchange data showed.
The partially convertible currency is currently trading at 75.36, weaker by 21 paise from its previous close of 75.15 on Thursday. The currency touched a high and low of 75.4600 and 75.2700 respectively.
