The rupee fell further in late morning deals on Thursday, dropping to as much as 54.52 against the dollar, tracking weak stocks, euro, dealers said. It opened lower on Thursday tracking global dollar strength, dealers said. The rupee/dollar pair was seen trading at 54.46/47 against its previous close at 54.30/31. February inflation data, due around 12 p.m., will be closely watched with any reading below 6.5 per cent likely to cement rate cut hopes. RBI governor D Subbarao's comments on Budget bring a positive trigger for rate cut hopes, though he said inflation remains high and stubborn.

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