The Indian rupee on Wednesday depreciated by 34 paise to hit two-week low against the US dollar in early trade largely in line with other weak Asian currencies amid increased demand for the American unit from importers.

Expectations of capital outflows by foreign funds as market may open in the negative zone also put pressure on the rupee.

At the Interbank Foreign Exchange (forex) market, the domestic currency was quoted at 48.78 a dollar, down 34 paise form the previous close. The rupee closed at 48.44/45 against the US currency on Tuesday.

Marketmen said firm US dollar against other Asian currencies and increased demand for dollar from importers mainly pulled down rupee to the two-week low level.