Forex traders said besides increased demand for the US currency from importers, the dollar's strength against some currencies overseas weighed on the domestic unit.
At the interbank forex market, the rupee opened strong at 72.68 and advanced further to trade at 72.65, reflecting a rise of 35 paise over its previous close of 73 against the dollar.
The rupee recovered 21 paise to 72.91 against the US dollar early on Tuesday on increased selling by exporters.
The rupee depreciated 34 paise to 72.79 against the US dollar in early trade at the interbank forex market Monday on foreign fund outflows.
The rupee dropped by 40 paise to 74.08 against the US dollar in early trade on Wednesday, amid increased demand of the American currencies from importers and sustained foreign fund outflows.
On Monday, the rupee ended almost flat at 73.45 against the US dollar.
On Monday, against the US dollar, the rupee ended almost flat at 73.45.
The rupee recovered by 14 paise to 73.33 against the US currency in early trade on Monday, on fresh dollar selling by exporters and higher opening in the domestic equity markets.
On Thursday, the rupee fell 11 paise to close at 73.27. The dollar rose to a 10-week high Friday ahead of US GDP data.
During October F&O series, the BSE Sensex dropped 2,634.08 points, or over 7 per cent while the NSE Nifty lost 852.65 points, or almost 8 per cent.
After opening lower at 73.33, rupee weakened further to quote at 73.35 against the dollar registering a fall of 19 paise.
The rupee recovered by 42 paise to 73.15 against the US currency in early trade on Wednesday on fresh dollar selling by exporters amid easing crude oil prices and higher opening in the domestic equity markets.
Dealers attributed the rupee's fall to increased demand for the US currency from importers and sustained foreign fund outflows.
The benchmark BSE Sensex, in opening trade, on Monday, rose 321.41 points to 34,637.04.
The flagship index swung nearly 880 points both ways on alternate bouts of buying and selling during the session.
On Friday, the rupee had ended 55 paise higher at 73.57 against the dollar, as global crude prices eased and domestic indices staged a smart rebound.
Both indices ended the week higher for the first time in six weeks. During the period the Sensex climbed 366.59 points and Nifty rose 156.05 points.
The remarks by Martin Rama, the Chief Economist for the South Asia region of the World Bank, came as the rupee hit an all-time low of 74.45 against the US dollar on Thursday.