The Indian rupee weakened against the US dollar in early trade on Thursday following a rise in global crude oil prices after US forces completed additional self-defense strikes against multiple targets in Iran. Moreover, weak domestic equity market and foreign fund outflows also dampened rupee sentiments. Foreign institutional investors offloaded equities worth Rs 2,124.98 crore on a net basis on Wednesday, exchange data showed. However, rupee's fall was capped by a weaker dollar overseas, while the latest spike in U.S. inflation keeps pressure on the Federal Reserve to hold interest rates steady for the foreseeable future.
The partially convertible currency is currently trading at 95.69, weaker by 44 paise from its previous close of 95.25 on Wednesday. The currency touched a high and low of 95.71 and 95.55 respectively.
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