The rupee weakened 7 paise to 64.35 against the dollar on Thursday, hurt by fresh demand for the American currency from importers.
The dollar rose to a position of strength overseas, which pushed down the rupee. But what pulled back the slide was continuous foreign capital inflows and a higher opening in the domestic stock market.
The rupee had gained 5 paise to settle at a nearly six- week high of 64.28 on Wednesday on steady selling of the American currency by banks and exporters.
The benchmark Sensex rose by 101.77 points, or 0.31 per cent, to 32,057.12 in early session on Thursday.