Rupee weakens to 41.03/$

Rupee has shed gains to the dollar to hit the lowest level of 41.03/$ in early noon deals as against a close of 40.70/$ yesterday. This is the lowest level since May 14, says a banking analyst.

"The dollar has appreciated against all Asian currencies in morning trades. This is reflected in the rupee dollar rates as well. Series of data released in US recently indicate strengthening of the US economy hence the markets are of the view that the Federal Reserve could raise rates in the near future adding to the dollar rally,'' said an economist with a foreign bank.

The foreign institutional investors, too, were seen offloading shares in the domestic equity markets which has also hit the strong rupee sentiment.