The Indian rupee weakened to 94.86 per US dollar in early Wednesday trade, marking a 10-paise decline from the previous session's close.
The move extends the currency's recent downward trajectory, with traders targeting a range of 94.80 to 94.85 ahead of the open.
Despite supportive factors including a sharp drop in global crude oil prices and inflows from foreign institutional investors, the rupee failed to find footing.
The greenback's broader strength across emerging markets continued to exert pressure on the Indian currency, overriding local demand.
This session's slide follows a marginal weekly loss of approximately 18 paise, or 0.2%, bringing the rupee to 94.74 by Tuesday's close.
The recent reversal in momentum highlights the persistent headwinds facing the rupee amid a firmer US dollar environment.