Indian RupeeQuote - Chart - Historical Data - News

The Indian rupee strengthened to 95.9 per dollar from the record-low of 97.15 on May 19th after the Reserve Bank of India continued to intervene on currency markets and support the currency from it's slide this year. The central bank sold dollars to state banks through the third week of the month. This outweighed the outflows of foreign exchange, initially stemming from energy importers following the surge in oil prices due to the war in the Middle East, then magnified by selling from Indian equity and bond investors that wanted to reduce rupee positions. Besides selling dollars, officials from the RBI reportedly considered hiking interest rates, as soon as next meeting, to prevent further deprecation and risks to the foreign currency reserves. However, a group of policymakers also advocated against raising rates, opting instead for more currency interventions and policy to stimulate dollar inflows.

The Indian rupee hovered around 96.2 per dollar, stabilizing after a nine-session slide as markets assessed central bank intervention and broader weakness in Asian currencies. Despite yesterday’s rebound, sentiment remained cautious, with traders expecting renewed pressure on the currency amid persistent dollar strength. Softer crude oil prices, however, offered some support to the rupee. Earlier, the Reserve Bank of India intervened aggressively through substantial dollar sales before markets opened and continued support throughout the trading session. Investors are now watching closely to see whether the RBI maintains its defense of the currency. Without sustained intervention, analysts expect importer and hedging demand for dollars to re-emerge, potentially limiting further gains. Meanwhile, most Asian currencies remained under pressure as the dollar index hovered near a six-week high, supported by resilient US economic data and elevated Treasury yields.

The Indian rupee hovered near 96.4 per dollar, pausing losses after briefly crossing the 97-per-dollar mark for the first time. Softer oil prices offered temporary relief as Brent crude fell more than 5% to near $105 per barrel, while the US 10-year Treasury yield slipped below 4.60%, improving market sentiment. The rupee had remained under pressure, falling nearly 2.5% over nine sessions amid strong dollar demand, rising US yields, and heavy foreign fund outflows. Meanwhile, the central bank has already announced a $5 billion dollar-rupee swap auction scheduled for May 26. The Reserve Bank of India is also reportedly considering measures to stabilize the rupee, including a possible rate hike, additional swap auctions, and schemes to attract foreign currency inflows from non-resident Indians, which officials estimate could bring in up to $50 billion. Markets are now focused on the RBI’s June 3–5 policy meeting for signals on further support measures.