RBI Intervention Keeps Rupee Stable Amid Global Volatility
The Reserve Bank of India (RBI) has been actively intervening in the foreign exchange market to keep the Indian rupee stable. According to a report, the RBI used state-backed banks to absorb inflows into reserves rather than allowing them to hit the spot market, which helped maintain the rupee's value relative to the US dollar.
The RBI's special USD-INR forex swap facility had attracted $73 billion in foreign exchange inflows as of August 21, 2026, significantly boosting India's foreign currency reserves. This move has anchored the rupee's value and insulated it from global volatility.
On the technical front, the Canadian Dollar vs Indian Rupee (CAD/INR) is trading below its key short- and medium-term moving averages but above the longer-term average. Momentum indicators are negative, with a sell bias, and the RSI is extremely low at 20.6252.