Mumbai: The rupee is at 56.47/48 versus its close of 56.38/39 on Thursday after falling to as low as 56.60 in opening deals, its weakest since June 29, 2012. Dealers say the Reserve Bank of India governor's comment on Thursday that inflation still remained high and it will take into account the current account deficit for policy decisions, weighs, as it dampens rate-cut hopes in June policy review.
Domestic shares also down 0.8 per cent on the back of the governor's comments. Traders, however, expect some resistance as the dollar trades weaker against the euro and other Asian currencies.
The gross domestic product data scheduled to be released at 0530 GMT will be the next focus and traders are hoping weaker growth will push the RBI to cut interest rates yet again in June.
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