FPIs sold shares worth a net Rs 1,343.44 crore on Friday.
The Indian rupee lowered by 29 paise to 68.13 against the US dollar in early trade on Monday.
As demand for the American unit from importers and banks picked up, Indian rupee weakened.
Also, pressure was put on Indian rupee as domestic equity markets opened on a negative note.
According to dealers, US dollar falling to a two-week-low against the yen on global trade concerns also capped the losses.
On Friday, the rupee had continued its rally for the third straight session.