Indian rupee depreciated against the US dollar on Monday as strong dollar demand and a muted trend in domestic equities weighed on investors' sentiments. Traders were cautious as the RBI said India's forex reserves dropped by $1.88 billion to $623.983 billion in the week ended January 17. Investors overlooked government data showing that the country's exports rose by 5.57 per cent to $59.93 billion during April-December this fiscal on account of healthy demand in the American market for domestic goods. On the global front, ringgit closed marginally lower on Monday pressured by a stronger greenback amid heightened tariff rhetoric from United States President Donald Trump, which lifted the dollar’s strength in broader markets.
Finally, the rupee ended at 86.30 (Provisional), depreciated by 8 paise from its previous close of 86.22 on Friday. The currency touched a high and low of 86.45 and 86.28 respectively.