The rupee slumped to a six-month low of 65.75 on heavy foreign fund outflows and month-end dollar demand.

Foreign fund outflows have taken a toll on the rupee which fell to as low as 65.75 per dollar, its weakest since March 15.

Also, strengthening of dollar against other currencies overseas put pressure on the rupee.

The rupee resumed higher at 65.36 against yesterday’s closing level of 65.45 at the interbank foreign exchange (forex) market today. Later, it slipped to 65.75 before being quoted at 65.70, down 25 paise at 2.50 pm local time.

FPIs withdrew over Rs 1,915.54 crore on net basis from stock markets yesterday, as per provisional exchange data.

Overseas, the US dollar traded higher against a basket of currencies, which was underpinned by remarks from the Federal Reserve chief on the need to continue with rate hikes. The euro was seen licking its wounds amid political uncertainty after the German election.

Meanwhile, the Sensex was trading down by 402.14 points or 1.27 per cent at 31,197.62 on the BSE.