On Tuesday, the rupee gained 13 paise to close at 68.54 against the US dollar.
The Indian rupee slipped by 5 paise to trade at 68.59 against the US dollar in early trade on Wednesday ahead of the Reserve Bank of India (RBI)'s monetary policy outcome, scheduled later in the day, reported news agency Press Trust of India (PTI).
According to forex dealers, the fall in Indian currency is due to the fresh demand for the US currency.
However, a higher opening in domestic stock markets in early trade today limited the fall, forex dealers added.