The rupee slipped by 2 paise to 75.35 (provisional) against the US dollar on Monday due to rising crude oil prices amid deepening tensions between Russia and Ukraine.
Sustained foreign capital outflows also weighed on investor sentiment, forex traders said.
At the interbank foreign exchange market, the rupee opened weak at 75.73 against the US dollar. However, it recovered most of its losses to quote at 75.35 at 1530 hrs, down 2 paise from the previous close.
Meanwhile, the dollar index, which gauges the greenback's strength against a basket of six currencies, was trading 0.46 per cent higher at 97.06.
Global oil benchmark Brent crude futures jumped 5.46 per cent to $103.28 per barrel amid a war in Ukraine.
On the domestic equity market front, the 30-share Sensex ended 388.76 points or 0.70 per cent higher at 56,247.28, while the broader NSE Nifty rose 135.50 points or 0.81 per cent to close at 16,793.90.
Foreign institutional investors were net sellers in the capital market on Friday, as they offloaded shares worth Rs 4,470.70 crore, as per stock exchange data.
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