Positive domestic and Asian markets supported the rupee in the early trade on Tuesday to touch 54.71 per dollar.
At 10.32 a.m., the Indian currency was trading at 54.73 against the greenback at the Interbank Foreign Exchange market.
The Indian unit had closed at 54.85 after breaching the 55-levels, making Monday’s session the weakest in over two months.
However, experts feel the rupee is likely to remain under pressure due to Budget woes and concerns over the downward pressure on the twin deficits - current account and fiscal deficit.
India’s current account deficit had touched a record high of 5.4 per cent in the second quarter, while higher-than-expected subsidy bill coupled with lower revenue collections resulted in a fiscal deficit of 5.9 per cent of GDP in 2011-12.
