The rupee fell by 5 paise to Rs. 54.34 against the American currency on the Interbank Foreign Exchange in early trade on Tuesday in line with weak local equities.

Dealers said besides dollar’s fell against the yen and euro in Asian trade today after weaker-than-expected U.S. manufacturing data sparked renewed fears about the state of the world’s biggest economy, weak opening in the stock market also put pressure on the rupee.

The rupee had ended higher by 7 paise at 54.29 against the dollar in the previous session.

Meanwhile, the BSE benchmark Sensex declined by 33.36 points, or 0.17 per cent, at 18,831 in early trade.

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