Mumbai: The rupee depreciated by four paise to 63.29 against the US dollar in early trade today at the Interbank Foreign Exchange on fresh demand for the American currency from banks and importers.

Forex dealers said besides the dollar's gains against other Asian currencies, increased demand for the American unit from importers contributed to the rupee's weakness but a higher opening in domestic equities, capped the fall.

The rupee had gained five paise to close at 63.25 against the dollar in yesterday's trade on fresh selling of the US currency by exporters amid bullish stocks.

Meanwhile, the benchmark BSE Sensex rose by 49.46 points, or 0.18 per cent, to 27,751.25 in early trade today.--PTI