India, Oct. 14 -- The Indian rupee depreciated 9 paise to 88.77 against the US dollar in early trade on Tuesday, weighed down by the greenback's strength in overseas markets and persistent foreign fund outflows.

Forex traders said that optimism around the ongoing India-US trade talks failed to support the domestic currency as a global risk-off sentiment dominated investor mood. They added that the Reserve Bank of India (RBI) is closely monitoring the USDINR pair as it edges toward the 88.80 level.

At the interbank foreign exchange market, the rupee opened at 88.73 and slipped to 88.77 against the greenback, down 9 paise from its previous close of 88.68.

Meanwhile, the dollar index, which measures the greenback's strength against a bask...