On Monday, the Reserve Bank of India said that taming inflation warrants continuation of the anti-inflationary monetary stance. The central bank has indicated to raise its key policy lending rates by 25 basis points at a policy review scheduled for July 26, 2011.

At 11:20 a. m. the partially convertible rupee was observed at 44.4225/4250 per dollar, at noticeably weaker position as compared to Friday’s close of 44.3625/3725. While commenting on the current market scenario, a foreign exchange dealer at private-sector bank said: "Month-end oil (companies' dollar) bidding is happening and people would like to see the Reserve Bank of India's action on Tuesday”.

Meanwhile, euro was observed to grab a position at $1.4368 against $1.4402 at close of forex trade whereas dollar has reported a hike of 0.01% at 74.212 against six major currencies where the index was 74.068 at end of domestic currency trade on Friday.

Experts suggest that the US debt crisis has played a role to fluctuate the figures and pushed the dollar under pressure whereas a majority of Asian currencies have reported stronger position against the US unit.

Additionally, India's benchmark share index faced a roll down nearly 0.1% after gaining as much as 0.2%.