Reuters Market Eye - The rupee is trading at 56.30/31 versus its close of 55.9550/9650 on Tuesday, after touching a low of 56.37, its weakest since July 25, 2012 earlier in the session.
Traders say losses in the domestic share market and other Asian currencies helping the dollar.
Some dealers cite non-deliverable forwards-related dollar buying in the domestic market as one of the key reasons for the rupee's weakness.
The three-month NDF trading at 57.24 compared with its onshore counterpart which stands at 57.26.
(Reporting by Swati Bhat)