Rupee slips 4 paise to 71.12 against US dollar amid rising crude prices

The rupee opened on a weak note and declined 4 paise to 71.12 against the US dollar in opening trade on Monday, as concerns over rising crude oil price weighed on the investor community.

Forex traders said the weakness in the rupee was largely due to spurt in crude oil prices following rising tensions in the Middle East and North Africa.

The rupee opened weak at 71.07 at the interbank forex market and fell further to 71.12, down 4 paise over its last close.

The rupee had settled at 71.08 against the US dollar on Friday.

Meanwhile, foreign fund inflows and positive opening in domestic equities supported the local currency.

Foreign institutional investors remained net buyers in the capital markets, putting in Rs 264.26 crore on Friday, as per provisional data.

Brent crude futures, the global oil benchmark, rose 1.14 per cent to USD 65.59 per barrel.

Domestic bourses opened on a positive note on Monday with benchmark indices Sensex trading 185.17 points up at 42,130.54 and Nifty rose 19.70 points to 12,372.05.