Indian rupee depreciated against the U.S. dollar on Thursday amid outflow of foreign funds and volatile global crude oil prices. Foreign Institutional Investors (FIIs) offloaded equities worth Rs 1,858.15 crore on Wednesday, according to exchange data. Traders overlooked Reserve Bank of India’s (RBI) latest report stating that outward foreign direct investment (OFDI) by domestic firms has seen a jump of 73.77% to $5,030.48 million in June 2025 as against $2,894.90 million in June 2024. In May 2025, it stood at $2,702.92 million. On the global front, British pound strengthened against other major currencies in the European session on Thursday, following mixed employment figures from the United Kingdom. U.K. unemployment rate rose unexpectedly in the three months to May. The jobless rate rose to 4.7 percent, while it was forecast to remain unchanged at 4.6 percent.

Finally, the rupee ended at 86.09 (Provisional), depreciated by 16 paise from its previous close of 85.93 on Wednesday. The currency touched a high and low of 86.13 and 85.80 respectively.