The Indian rupee slid on Friday, dragged down by the dollar's bounce overseas, dealers said. The rupee finished at 43.76/77 per dollar, 0.11 percent weaker than Thursday's seven-session closing high of 43.70/72, but well off the day's low of 43.86.
"The dominant factor was the euro's moves overseas and the rupee slipped to 43.86 when the euro fell to $1.3057 and regained some ground towards close as the European currency recovered slightly," a dealer at a state-run bank said.
"It's been the same story all week, with the dollar's moves overseas - on ECB (European Central Bank) officials' comments, the US trade deficit and now Bush and the Fed's comments - driving the rupee's direction."
Rupee premiums on forward dollars edged up as unease over the near-term rupee outlook spurred hedging. The annualised premium on the benchmark six-month dollar closed 1 basis point higher at 2.03 percent.
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