Indian rupee depreciated against the U.S. dollar on Thursday amid dollar demand from importers. Traders overlooked the report that inflation based on Wholesale Price Index (WPI) stayed in negative territory for the second consecutive month at (-) 0.58% in July 2025, as prices of food articles and fuel saw deflation, even though prices of manufactured items increased. WPI inflation was (-) 0.13% in June, while it was 2.10% in July last year. On the global front, British pound strengthened against most major currencies in the European session on Thursday, as the U.K. economy rebounded at a faster-than-expected pace in June. The U.K. gross domestic product grew 0.4 percent, following a fall of 0.1 percent in May. Output was forecast to grow 0.2 percent.

Finally, the rupee ended at 87.59 (Provisional), depreciated by 12 paise from its previous close of 87.47 on Wednesday. The currency touched a high and low of 87.67 and 87.39 respectively.