Rupee sink's to a month's low against the dollar

The rupee is already weighed down by persistent dollar demand from importers.

The Indian rupee opened near one month low against US dollar on July 6, tracking weak Asian currencies after minutes of the latest US Federal Reserve Meeting meeting hinted at another rate hike this month. The currency is already under pressure weighed down by persistent dollar demand from importers.

At 9.15 am, the home currency was trading at 82.42 to a dollar, down 0.24 percent from its previous close of 82.22. The rupee hit a low of 82.43 a dollar, a level last seen on June 12.

The recently released minutes of the Fed's June meeting revealed that a significant majority of policymakers anticipate the need for additional tightening in US monetary policy despite their decision to maintain steady interest rates the previous month.

Market expectations reflect this sentiment, with an 86 percent likelihood priced in for a 25 basis point rate hike by the Fed in July, and a nearly 20 percent probability of another 25 basis point increase in September.

One basis point in one-hundredth of a percentage point.

Among Asian currencies, the South Korean won fell 0.4 percent, Taiwanese dollar 0.37 percent, Thai Baht 0.36 percent, Indonesian rupiah 0.36 percent and the Philippines peso was dow. 0.32 percent.

Among gainers, the Japanese yen rose 0.31 percent and the Hong Kong dollar was up 0.07 percent.

The dollar index, which measures the US currency’s strength against major currencies, was trading at 103.38, up 0.01 percent from its previous close of 103.37

(With agency inputs)