Mumbai - Traders expect higher demand for dollars due to the financial year end in India.
The Indian rupee weakened to its lowest level in a month on Wednesday morning, tracking continued gains in the dollar index on the back of the rise in US bond yields.
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The partially convertible rupee was at 73.52/53 per dollar at 0437 GMT versus its previous close of 73.38 after touching 73.59 in opening deals, its weakest since March 1. The rupee was trading at 20 at 12:15pm (UAE time) against the dirham, according to XE.com.
Traders expect higher demand for dollars due to the financial year end in India as well and that is expected to keep pressure on the local unit.
The broader NSE share index was down 0.6 per cent while the BSE index was 0.8 per cent lower. Any portfolio outflows by foreign investors could also pressure the rupee, traders said.
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