The Indian rupee dropped further by 28 paise to 45 rupees 26 piase against the American currency in the early trade. This follows persistent dollar demand from banks and corporates on the back of firm dollar overseas. At the fairly active Interbank Foreign Exchange or Forex market, the domestic currency opened lower at 45 rupees 24 piase against Tuesday's closing level of 44 rupees 99 paise per dollar.