The rupee pared all its initial gains to settle lower by 10 paise at 81.84 (provisional) against the US currency on Thursday amid a strong greenback overseas. However, the strong sentiment in the domestic equities market restricted the rupee's fall, forex traders said. At the interbank foreign exchange, the domestic unit opened at 81.69 against the dollar and finally closed at 81.84 (provisional), down 10 paise from its previous close.