The Indian rupee depreciated by 16 paise against the dollar in early trade on Monday taking cue from weak Asian currencies and expectations of capital outflow by foreign funds in the domestic equities which are likely to open in the negative.
At the Interbank Foreign Exchange (forex) market, the domestic currency gained 16 paise to quote at 47.77 over Friday's close of 47.61/62.
The local unit had ended flat on Friday.
Forex dealers said a strong greenback against a basket of Asian currencies and a negative outlook for the markets, which may follow suit from weak Asian bourses, weighed on the rupee sentiment.
The Bombay Stock Exchange Sensex had ignored good industrial growth for April and ended 1.13 per cent down at 15,237.94, in high volatility on Friday.
