<h1>Rupee drops 8 paise to 85.70 against dollar amid foreign fund outflows and global risk sentiment</h1> The rupee depreciated 8 paise to 85.70 against the US dollar in early trade due to global risk sentiment and foreign fund outflows. The central bank's dollar buying strategy to manage maturities and rebuild intervention reserves is limiting rupee gains. Traders await US trade data for market direction. The dollar index rose 0.07% while Brent crude fell 0.72%. Foreign institutional investors sold equities worth over 1,500 crore, contributing to year-to-date outflows exceeding $6 billion, pressuring the rupee despite supportive global dollar weakness.