The Reserve Bank of Indian likely stepped into the foreign exchange market aggressively on Thursday, three traders told Reuters, likely aimed at shoring up the rupee, which fell to a record low in the previous session.
The rupee was on track to open around the 92.10 per dollar level on Thursday, but minutes before the local spot market opened at 9:00 a.m. IST, it rallied sharply on the interbank order matching system to about 91.40 per dollar.
Traders cited dollar sales from at least three state-run banks, most likely on behalf of the RBI.