The Indian rupee recovered after initial losses against the American currency in the late morning trade and was steady at 53.28 per dollar on mild selling of dollars from banks and exporters on the back of persistent capital inflows from foreign funds. The rupee resumed lower at 53.40 per dollar as against the last closing level of 53.28 per dollar om the Inter bank Foreign Exchange (Forex) Market on good dollar demand from banks and importers due to higher dollar in overseas market. However, it recovered afterwards to 53.24 per dollar before quoting at 53.28 at 1040hrs.