<h1>Rupee Falls to 86.64 Against US Dollar Due to Strong Dollar, Hawkish Fed, and Foreign Fund Outflows</h1> The rupee depreciated by 9 paise to close at 86.64 against the US dollar, influenced by the strong US dollar and a hawkish US Federal Reserve stance. Despite the Fed maintaining interest rates, its outlook suggests prolonged higher rates, impacting the rupee negatively. Continued foreign fund outflows and strong dollar demand from importers added pressure. Market participants are cautious ahead of the upcoming Union Budget and RBI's bond buying. Meanwhile, domestic equity markets saw gains, with the BSE Sensex and Nifty rising, while Foreign Institutional Investors sold equities worth Rs 2,586.43 crore. Brent crude prices fell slightly in futures trade.