After suffering a fall of 43 paise to close at one-month low of 53.84 on Friday, the rupee eased some of its loss on Monday and Tuesday.

On Monday, the Indian currency gained 9 paise to 53.75 against the U. S. dollar at the Interbank Foreign Exchange as exporters and banks sold the American currency.

In the morning trading on Tuesday, the rupee appreciated against the greenback. The Indian currency gained 12 paise or 0.24 per cent against USD to Rs 53.42, as compared with previous close of 53.55.

The rupee gained as equities advanced on cheerful domestic earnings and a sharp decline in crude prices over the weekend on worldwide growth worries. Besides, strengthening of the Euro against the U. S. dollar also provide a boost to the rupee.

Lata Subramaniam, deputy manager FOREX at State Bank of Travancore, said, "Foreign banks were among the major sellers today. There was some large corporate flow heard of in the morning and then some talk of the debt limit auction related flows."

Subramaniam has an appreciation call for the Indian rupee in the long-term. She expects the rupee to top in the range of 54.10 to 54.20 this week. On the downside, she says the rupee could cross target 52.50, should the currency break below 53.40.