The Indian currency was trading 57 paise lower at 72.04 against the US dollar at 1548 hours.
Rupee is trading at 71.77 against dollar amid rising concerns over the US-China trade deal.
At the interbank foreign exchange, the rupee opened at 71.36 against the US dollar.
Sustained foreign fund inflows and easing crude oil prices capped the losses.
Sustained foreign fund inflows, positive opening in domestic equities and easing crude oil prices supported the local unit.
The dollar index, which gauges the greenback's strength against a basket of six currencies, fell by 0.07 per cent to 97.91.
Rupee is trading at 70.73 against dollar, following increased selling of the American currency by exporters and banks.
A higher opening in domestic equity market, and hopes for a US-China trade deal also supported the local currency.
Traders said rupee is trading in a narrow range as market is awaiting fresh cues on the potential US-China trade deal.
At the interbank foreign exchange the rupee opened at 70.79, then gained further and touched a high of 70.70.