The rupee recovered by 14 paise to 62.28 in early trade today at the Interbank Foreign Exchange market on dollar selling by exporters and increased capital inflows.
Forex dealers said dollar's weakness against other currencies overseas after weaker-than-expected US retail sales data and higher opening in the domestic equity market also supported the rupee.
The rupee had lost 32 paise, logging its biggest daily drop in over two weeks, to close at 62.42 yesterday against the US currency in line with weakness in domestic stocks and sustained demand of the American currency from oil importers.
Meanwhile, the benchmark BSE Sensex rose 76.80 points, or 0.38 per cent, to 20,270.15 in early trade today.
