04.11.202504:34:18UTC+00Rupee Attempts Recovery on RBI Support

The Indian rupee recently appreciated to approximately 88.5 against the US dollar, seeking to rebound from its historic lows following another intervention by the Reserve Bank of India (RBI). The central bank engaged in actions within offshore and derivative markets, where reduced local liquidity amplified the effects of its interventions. Additionally, state-owned banks conducted dollar sales on behalf of the RBI to defend the 88.80 threshold, in line with earlier measures. Market sentiment remains firmly focused on the central bank’s commitment to preventing a breach of this level. Any indication of currency weakness is likely to prompt swift market adjustments. This slight recovery underscores the RBI’s persistent efforts to stabilize the rupee amid ongoing demand for the US dollar and its broader strength. The rupee has also faced challenges due to the substantial US tariffs imposed on Indian exports in late August, which have pressured the currency near its record-low levels in recent trading sessions.