Mumbai, India (BBN) – The Indian rupee depreciated by 5 paisa to 65.06 against the dollar due to renewed demand for the US currency from importers.
The dollar made headway as the euro hit a two-month low against the yen on Monday, as German Chancellor Angela Merkel’s efforts to form a three-way coalition government failed, raising concerns over political uncertainty in the euro zone’s largest economy, reports The Hindu Business Line.
According to forex dealers, a weak domestic equity market cast its shadow on the rupee sentiment.
On Friday, the rupee had bounced back in style to end at a one-week high of 65.01 as Moody’s upgraded India’s sovereign credit rating.
Meanwhile, the benchmark BSE Sensex fell 54.59 points or 0.16 per cent to 33,288.21 in early trade.