The Indian rupee weakened 27 paise to 95.79 against the US dollar in early trade on Friday, pressured by elevated crude oil prices and continued foreign portfolio outflows.
Forex traders said strong foreign exchange reserves, active intervention by the Reserve Bank of India and resilient domestic economic growth are providing support to the currency. However, rising global bond yields and crude oil prices above USD 108 a barrel remain key headwinds, adding pressure on the country's import bill.
At the interbank foreign exchange market, the rupee opened at 95.70 against the US dollar before slipping to 95.79, down 27 paise from its previous close.