The rupee on Tuesday lost 13 paise to trade at 46.25 against the US currency due to increased dollar demand from importers amid weak equity markets.
Dealers said dollar strengthened against major world currencies in global markets, which also weighed on the rupee.
Increased demand for dollar from importers and weak equity markets dampened the rupee sentiment.
The Bombay Stock Exchange benchmark index,Sensex, fell 56.60 points, or 0.31 per cent, to 18,230.90 points in opening trade.
The rupee had ended higher by 3 paise at 46.12/13 a dollar on Monday.