Commodities
RBI Steps In to Bolster Rupee Amid Dollar Strength
The Reserve Bank of India (RBI) likely stepped into the foreign exchange market on Monday to prop up the rupee, according to four traders who spoke with Reuters. The intervention helped the rupee resist downward pressure from a strengthening U.S. dollar and fluctuating oil prices.
The rupee closed at 96.24 per dollar, slightly higher than its previous session's close of 96.3150. State-run banks were observed offering dollars, a move traders believe was carried out on behalf of the RBI.
The U.S. dollar index rose by 0.6% to 102.5, marking its highest level in more than a year. This broader strength in the dollar added to the challenges facing the rupee.