The Indian rupee depreciated sharply by 84 paise to close at 85.61 (provisional) against the US dollar on Thursday, weighed down by heightened geopolitical tensions between India and Pakistan. Domestic shares closed the session lower as growing concerns over escalating India-Pakistan tensions curbed investors' appetite for risk. The benchmark 30-share BSE Sensex fell 411.97 points, or 0.51 percent, to 80,334.81 while the broader NSE Nifty index closed down 140.60 points, or 0.58 percent, at 24,273.80. Besides, heightened geopolitical risks, positive US dollar index and a rise in crude oil prices also weighed on the rupee. The dollar index is seen edging closer to 100 mark.