The Indian rupee today depreciated by 19 paise against the US currency to fell to a two-week low in early trade on dollar buying by banks and importers and fears of capital outflows after weak global cues.
At the Interbank Foreign Exchange (Forex) market, the domestic unit traded 19 paise down at 46.86 a dollar, the lowest since November 27. It had closed 11 paise down at 46.67/68 against the dollar in yesterday’s trading.
Dealers said fears of increased capital outflows by foreign funds following a weak pattern in other Asian markets and dollar’s gain against other major currencies mainly weighed on the rupee sentiment.
Besides, dollar buying by importers and banks also impacted the rupee sentiment, they said.