The rupee on Wednesday depreciated by 2 paise against the dollar in early trade as the US currency strengthened against major world currencies.
At the Interbank Foreign Exchange market, the domestic unit was quoted 2 paise lower at 46.66 a dollar. The rupee had settled 16 paise higher at 46.64/65 a dollar yesterday.
Dealers said rising dollar against other currencies put some pressure on the rupee, but firm stock market capped the losses.
Meanwhile, the Bombay Stock Exchange benchmark index Sensex rose by 79.89 points, or 0.44 per cent, to 18,128.74 points in the opening trade.