Rupee hits one-week low as risk aversion returns

Reuters Market Eye - The rupee hits a one-week low of 61.50 in opening trade on risk aversion as tensions in Ukraine flared up and weak China data renewed concerns about global growth. The pair was last at 61.42/43 versus Thursday's close of 61.17/18.

The pair is up 0.6 percent so far this week, on way to break two weeks of losses.

U.S. retail sales rebounded in February and new filings for jobless benefits hit a fresh three-month low last week, suggesting the economy was regaining strength to push the dollar higher against a basket of currencies.

Data on Thursday showing that China's industrial output growth fell short of forecasts for the January-February period is also likely to weigh on regional forex on heightened concerns about the region's economic powerhouse.

Asian shares skidded to a three-week low and the yen held steady at lofty levels on Friday, as heightened tension in Ukraine ahead of a weekend referendum prompted investors to shed riskier assets.

(Reporting by Subhadip Sircar)