India cenbank likely intervened in NDF to stop rupee from hitting record low, traders say

India's central bank likely intervened in the non-deliverable forward market before the local spot market opened on Wednesday, to prevent the rupee from dropping to an all-time low, six traders said.

The rupee was at 83.5525 to the U.S. dollar, only marginally away from the 83.5750 all-time low it hit in April.

The currency opened at 83.5450. It would have probably opened at a new low if not for the Reserve Bank of India's intervention, traders said.


The RBI "hammered" dollar/rupee before the open, an fx salesperson at a private sector bank said.

The central bank has regularly intervened in both the NDF and the local spot market to keep a check on the rupee.