The local currency, which had plunged to an all-time low of 55.39 yesterday, crashed to 55.82 at the Interbank Foreign Exchange market in early trade.
Forex dealers said apart from the dollar's gains against the euro and other currencies overseas on renewed euro-zone debt worries, a weak opening in the equity market and increased demand for the American currency from importers mainly kept the rupee under pressure.
Meanwhile, the BSE benchmark Sensex was being quoted down by 84.18 points, or 0.53 per cent, at 15.942.23 in early trade.