The local unit fell after US Fed policymakers indicated they would start raising interest rates in March to tackle inflation
The rupee on Friday closed 25 paise lower at 74.15 (provisional) against the US dollar as higher domestic equities and crude oil prices weighed on investor sentiment.
Forex traders said the local unit fell after more sharp comments by Federal Reserve officials.
At the interbank forex market, the local currency saw an intra-day high of 74.05 and a low of 74.21 against the US Dollar.
The local unit finally closed at 74.15, down 25 paise from its previous close of 73.90.
US Fed policymakers indicated they would start raising interest rates in March to tackle inflation and the impact on emerging market currencies.
The dollar index, which gauges the greenback’s strength against a basket of six currencies, was trading 0.01% down at 94.78.
Meanwhile, global oil benchmark Brent crude futures rose 1.01% to $85.32 per barrel.
Foreign institutional investors remained net sellers in the capital markets on Thursday as they sold shares worth Rs 1,390.85 crore, according to exchange data.
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