Forex dealers said besides dollar's gains against euro and yen overseas, increased demand from oil importers for the American currency and a weak opening in the stock market also put pressure on the rupee.
The rupee had lost 15 paise to close at 54.50 against the US dollar yesterday.
Meanwhile, the BSE benchmark Sensex fell by 43.29 points, or 0.22 per cent, to 19,721.49 in early trade today.