The rupee weakened by 39 paise to 72.89 against the US dollar due to increased dollar demand from importers and as Brent crude again breached the $71 a barrel mark.
Forex traders said besides increased demand for the US currency from importers, dollar’s strength against some currencies overseas weighed on the rupee but a strong domestic equity market capped the losses.
The rupee opened weak at 72.74 and slipped further to 72.86 at the interbank forex market today. It hovered in a range of 72.89 and 72.74 before quoting at 72.88, down 38 paise at 10.40 am local time. On Friday, the rupee rose 50 paise to end at 72.50 on increased dollar selling by exporters and weak crude oil prices. Brent crude slipped below the $70 per barrel mark.
As per provisional data, on a net basis, foreign funds bought shares worth Rs 614.14 crore, while DIIs sold shares worth Rs 337.28 crore on Friday. Meanwhile, the Sensex was trading up 23.17 points or 0.07 per cent at 35,181.72.