Rupee slides 0.5% as importers continue to lock in dollar purchases

FPI outflows, likely RBI dollar purchases weigh on domestic currency

The rupee extended its losing streak this week, shedding 0.5 per cent versus the US dollar over the past couple of days, as importers continued to lock in dollar purchases after a sharp appreciation in the domestic currency last week. 

The rupee settled at 81.77 per US dollar on Tuesday as against 81.62 per US dollar on Monday. The domestic currency had closed at 81.34 per US dollar at the end of the previous week. The rupee had strengthened 1.7 per cent versus the dollar last week. 

Purchases of the US dollar by the Reserve Bank of