The Indian rupee weakened by 8 paise to 87.40 against the US dollar in early trade on Tuesday, weighed by continued foreign fund outflows and tight liquidity conditions in the market.
Forex analysts attributed the decline to ongoing uncertainty over US tariff policies, which have unsettled global financial markets. The unpredictability surrounding potential tariff changes has also contributed to volatility in the US Dollar Index, adding to currency fluctuations.
At the interbank foreign exchange market, the rupee opened at 87.38 before slipping to 87.40 against the greenback, marking a slight decline from its previous close.