On Thursday, the Indian rupee (INR) concluded the trading day at anunprecedented closing nadir, even in the face of probable intervention bythe central bank. This decline was primarily attributed to the elevatedyields of U.S. treasury bonds and the overall depreciation of various Asiancurrencies, which exerted significant downward pressure on the INR.
Closing at 83.21 against the U.S. dollar, the rupee’s value marked adecline from its previous session rate of 83.1325. During the tradingsession, the INR dipped to a low point of 83.2175, alarmingly close to itsprevious record low of 83.29, which was recorded in October of thepreceding year.
In a bid to stabilize the currency, the Reserve Bank of India (RBI) wasobserved likely engaging in the sale of dollars in the vicinity of the83.20 mark, as reported by a foreign exchange trader associated with astate-run bank.
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In addition to these actions, the RBI’s interventions extended to thenon-deliverable forward (NDF) market, where efforts were undertaken toavert the prospect of the INR plummeting to an entirely new all-time low.These endeavors reflect the central bank’s ongoing commitment tosafeguarding the stability of the Indian rupee in the face of challengingglobal economic conditions and currency fluctuations
