The rupee pared its early gains to trade down by 6 paise at 63.77 against the greenback in afternoon deals on sustained bouts of dollar buying by banks.
The rupee opened higher at 63.58 per dollar from Tuesday's closing level of 63.71 at the inter-bank foreign exchange market on Wednesday
The Indian unit fluctuated between a high of 63.53 on and low of 63.85 during morning trade.
It was quoting 63.77 per dollar at 1230 hrs.
The US dollar was up against a basket of currencies, bolstered by higher US Treasury yields but still constrained against the yen after the Bank of Japan’s move to trim its purchases of Japanese government bonds triggered tapering fears.
