The Indian rupee trimmed its initial losses against the American currency but was still quoted down by four paise to 62.35 per dollar on good demand for the greenback from banks and importers on the back of firm dollar overseas.
The Indian rupee opened steady at 62.30 per dollar as against the last closing level of 62.31 per dollar at the Interbank Foreign Exchange (Forex) Market.
However, it dropped to 62.44 on fresh dollar demand from importers before quoting at 62.35 per dollar at 1045hrs.
It hovered in a range of 62.30-62.44 per dollar during the morning deals.
In New York, the dollar jumped against the yen yesterday as Treasury yields rose and a US manufacturing gauge exceeded expectations, in line with a wave of strong manufacturing data around the globe.
Meanwhile, the BSE Sensex moved down by 18.11 points or 0.09 pct to 20,879.90 at 1045hrs.