Indian central bank likely intervenes to support rupee
The Reserve Bank of India likely intervened in the foreign exchange market on Tuesday, six traders said, keeping up its market interventions to support the currency. The rupee was at 95.8150 per dollar. State-run banks were spotted offering dollars, most likely on behalf of the RBI. The central bank also likely conducted dollar-rupee sell/buy swaps for January 2027 maturities to drain excess rupee liquidity. Three traders estimated the central bank has conducted similar swaps of an average size of $1 billion per day over the past 10 trading sessions. India's banking system liquidity surplus is
(Updates to reflect swap market intervention paragraph 4 onwards, updates levels) MUMBAI, Sept 22 (Reuters) — The Reserve Bank of India likely intervened in the foreign exchange market on Tuesday, six traders said, keeping up its market interventions to support the currency as it navigates high oil prices and weak portfolio flows. 8150 per dollar, up marginally from its previous closing level. State-run banks were spotted offering dollars, most likely on behalf of the RBI, traders said. 80-96 zone will continue to be protected by the central bank, one of the traders said.
The central bank also likely conducted dollar-rupee sell/buy swaps for January 2027 maturities, persisting with forward market interventions intended to drain excess rupee liquidity from the banking system, traders said. Three traders estimated that the central bank has conducted similar swaps of an average size of $1 billion per day over the past 10 trading sessions. The traders could not be named because they are not authorised to speak to the media. 16 trillion rupees hit earlier in the month.
com; +91-8769636545;)