Mumbai: The Indian rupee on Friday opened little changed against the US dollar amid mixed cues from Asian currencies as traders eye developments on US-China trade talks and exercise caution ahead of the release of key economic data in the US.

At 9.10 am, the domestic currency was trading at 70.96 a dollar, down 0.04% from Thursday's close of 70.93. The Indian unit opened at 70.98 a dollar.

Traders will watch for developments in US-China trade pact amid renewed concerns as Chinese officials have cast doubt over the possibility of a long-term trade deal with the US following President Donald Trump's "impulsive nature" and the risk of him backing out of any kind of deal.

This comes even as Trump on Thursday said the countries would soon announce a new site for the signing of a "Phase One" trade deal after Chile canceled a planned summit this month.

Government bond yields fell after India’s infrastructure output shrank the most since 2005 which highlights the slowdown in the economy. Core infrastructure industries’ output -- measuring a basket of eight sectors accounting for two-fifth of India’s factory output— contracted by 5.2% in September from a growth of 4.3% in the year- ago period, according to data released by the commerce and industry ministry on Thursday.

The yield on the 10-year Indian government bond was at 6.433% compared with its previous close of 6.452%.

Meanwhile, the central government’s fiscal deficit at the end of September touched 6.5 trillion or 92.6% of what was budgeted for the full fiscal, data released by the Controller General of Accounts said on Thursday.

In the year so far, the rupee has weakened 1.6%, while foreign investors have bought nearly $9.94 billion in Indian equities and $4.54 billion in debt.

Asian currencies were mixed on renewed concerns over the progress of U.S.-China trade talks. Malaysian ringgit was up 0.25%, Singapore dollar 0.13%, Philippines peso 0.09%, China Offshore 0.05%. However, South Korean won was down 0.24%, Indonesian rupiah 0.08%, China renminbi 0.05%.

The dollar index, which measures the US currency’s strength against a basket of major currencies, was at 97.208, down 0.15% from its previous close of 97.352.

(Bloomberg contributed to this story)

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