The Indian rupee weakened against the US dollar in early trade on Tuesday as the American currency strengthened further to hover around its strongest level in 13 months amid a hawkish sentiment surrounding the Federal Reserve policy outlook and the fragile US-Iran trade deal. Investors are awaiting greater clarity on the reopening of the Strait of Hormuz, a key shipping route for global energy supplies. The rupee depreciated further after data showed Foreign institutional investors turned into net sellers, offloading equities worth Rs 635.91 crore on a net basis on Monday. However, softer global crude prices limited further declines for the Indian rupee.
The partially convertible currency is currently trading at 94.67, weaker by 4 paise from its previous close of 94.63 on Monday. The currency touched a high and low of 94.76 and 94.63 respectively.
