Mumbai: The rupee recovered by 17 paise to 64.87 against the dollar in early trade today on mild selling of the greenback by exporters and a higher opening in the domestic equity market.

Currency traders said strength in the US dollar against major global currencies, however, capped the gains in the domestic unit.

Yesterday, the rupee had plunged by 28 paise to end at a new three-month low of 65.04 against the US dollar even as importers actively covered unhedged positions amid fears over Fed rate hike.

Meanwhile, the benchmark BSE Sensex recovered 107.09 points, or 0.31 per cent, to 33,926.59 in early trade today.  PTI