The Reserve Bank of India is believed to have intervened in both the non-deliverable forwards (NDF) market and the local spot market on Friday to support the rupee, which remained close to its all-time low.
According to two traders speaking to Reuters, the central bank likely took action in the NDF market prior to the opening of the local spot market at 9 a.m. IST. Additionally, three other traders noted that state-run banks were selling dollars in the local spot market, likely on behalf of the RBI.
The rupee was last trading at 88.79, just below its historical low of 88.80 reached the previous week. One trader pointed out that it remains uncertain whether the central bank was actively involved in the NDF market amidst ongoing routine interventions that have diminished speculative interest in betting against the currency.
On this day, a stronger dollar negatively impacted the rupee, as analysts highlighted concerns surrounding ongoing U.S. trade tensions and the detrimental effect of rising gold prices on India’s trade balance.
Published on October 10, 2025.
