₹ cuts losses after breaching 86 against $

The rupee weakened past 86 per US dollar on Wednesday due to outflows from foreign portfolio investors (FPIs) coupled with strong bids for the greenback in the non-deliverable forward (NDF) market, said dealers.

- ANUPREKSHA JAIN

There was also strong dollar demand from importers.

The local currency fell up to 86.03 against the dollar during the day before regaining some ground by the end of trade to settle at 85.91 per dollar. This is against the previous close of 85.59.

"There were outflows, and unwinding of short positions," said a dealer at a state-owned bank.