MUMBAI, Jan 8 Reuters The Indian rupee dropped to an alltime low on Wednesday, pressured by a resumption of the dollar39;s uptrend after data pointed to a resilient U.S. economy, reinforcing bets that the Federal Reserve won39;t be in a rush to cut policy rates.

The rupee fell to a record low of 85.8425 per U.S. dollar, down from 85.7125 in the previous session and inching past its prior alltime low of 85.84 hit on Monday.

The dollar index rose 0.3 after data on Tuesday pointed to a strong U.S. labour market and accelerated activity in the county39;s service sector, which also sparked a rise in U.S. Treasury yields.

Asian currencies declined on Wednesday with the Indonesian rupiah down 0.4 and leading losses while the offshore Chinese yuan dipped to 7.34.

Dollar sales by staterun banks, likely on behalf of the Reserve Bank of India, helped limit the rupee39;s losses, traders said.

Reporting by Jaspreet Kalra; Editing by Mrigank Dhaniwala

Source Reuters