Photo: The Hindu Business Line
Mumbai, India (BBN) - The rupee depreciated 9 paisa to 64.79 against the US dollar in early trade due to fresh foreign fund outflows.
Dealers attributed the rupee’s fall to increased demand for the US currency from importers and banks and a weak domestic equity market, reports The Hindu Business Line.
On Friday, the rupee had lost 12 paisato close lower at 64.70 a dollar due to renewed demand for the US currency. Foreign investors had pulled out Rs. 416.28 crore from equity markets on Friday, as per provisional data.
The rupee sentiment was hit as Standard & Poor’s had on Friday kept its sovereign rating for India unchanged at ‘BBB-minus’ with ‘stable’ outlook saying vulnerabilities stemming from low per capita income and high government debt balance strong GDP growth.
Meanwhile, the benchmark Sensex fell by 106.92 points or 0.31 per cent to 33,572.32 in early trade.
BBN/MMI/ANS