Indian Rupee hits record low against US dollar
On Thursday, the Indian rupee (INR) concluded the trading day at an unprecedented closing nadir, even in the face of probable intervention by the central bank. This decline was primarily attributed to the elevated yields of U.S. treasury bonds and the overall depreciation of various Asian currencies, which exerted significant downward pressure on the INR.
Closing at 83.21 against the U.S. dollar, the rupee's value marked a decline from its previous session rate of 83.1325. During the trading session, the INR dipped to a low point of 83.2175, alarmingly close to its previous record low of 83.29, which was recorded in October of the preceding year.
In a bid to stabilize the currency, the Reserve Bank of India (RBI) was observed likely engaging in the sale of dollars in the vicinity of the 83.20 mark, as reported by a foreign exchange trader associated with a state-run bank.
In addition to these actions, the RBI's interventions extended to the non-deliverable forward (NDF) market, where efforts were undertaken to avert the prospect of the INR plummeting to an entirely new all-time low. These endeavors reflect the central bank's ongoing commitment to safeguarding the stability of the Indian rupee in the face of challenging global economic conditions and currency fluctuations