The rupee on Monday gained 17 paise to open at 68.52 against the US dollar despite disappointing macroeconomic data numbers released on Friday.

Factory output growth based on Index of Industrial Production (IIP) slipped to 3.1 per cent in May as against 4.3 per cent in the previous month, mainly on account of subdued performance of mining and manufacturing sectors.

Rising for the sixth month in a row, retail inflation climbed to 3.18 per cent in June though remaining well within the RBI’s comfort zone, leaving scope for a rate cut by the central bank to boost industrial production which has yet to gain traction.

The local currency on Friday depreciated 25 paise to close at 68.69 against the greenback.