Rupee falls further on Fitch cut

The rupee weakened further on Monday to hit a near one-week low against the dollar after Fitch Ratings cut India's sovereign outlook to "negative" from "stable", but affirmed the country at "BBB-", the lowest investment-grade rating.

The action followed Standard & Poor's outlook cut in April and took place during a session in which the rupee and domestic stocks had been hit after the Reserve Bank of India left interest rates unchanged, raising worries about economic growth prospects.

At 4:23 p.m., the partially convertible rupee was trading at 56.03/04 per dollar, much weaker than its previous close of 55.39/40 on Friday.