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Rupee weakens against US dollar in early trade on Thursday

07 May 2026 Evaluate
The Indian rupee weakened against the US dollar in early trade on Thursday, driven by persistent foreign fund outflows as investors were cautious over the prospects of a near-term US-Iran peace agreement and weighed continued disruptions to Middle East energy flows through the Strait of Hormuz. Foreign Institutional Investors offloaded equities worth Rs 5,834.90 crore on Wednesday, exchange data showed. Weakness also prevailed as S&P Global in its latest ‘India Forward’ report, jointly done with Crisil, has lowered India's Gross Domestic Product (GDP) growth estimates for the current financial year (FY27) to 6.6 per cent from 7.1 per cent projected earlier. 

The partially convertible currency is currently trading at 94.89, weaker by 40 paise from its previous close of 94.49 on Wednesday. The currency touched a high and low of 94.89 and 94.71 respectively.

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