Indian central bank likely intervenes to keep lid on rupee weakness, traders say

Business Recorder reported that the Reserve Bank of India most likely stepped into the foreign exchange market on Tuesday, based on remarks from four traders. According to them, the aim was to protect the rupee from strain tied to high oil prices and steady dollar requests from companies. Dealers saw state-run banks offering dollars, which they believed were being supplied on the central bank's behalf.

The rupee was barely moved during the session, trading at 95.7350 per dollar within a range of less than one paisa. Traders said the repeated interventions have kept volatility under control in recent sessions, even as global markets have been unsettled. The currency has stayed in a narrow band over the past several trading days, according to the report.