Rupee fails to convert Asian support into sustained gains Through this week, the rupee has struggled to translate supportive Asian cues into lasting traction. While other regional currencies showed tentative strength, the rupee remained range-bound and repeatedly lost momentum after brief upticks. Why momentum stalled There are a few likely reasons the currency could not … Read more
Foreign fund outflows and rising worries about geopolitical developments have weakened market risk appetite, sending investors toward safe-haven assets, forex traders said. The shift highlights growing caution across equity markets and a renewed preference for liquidity and stability. Markets turn cautious Heavy withdrawals by foreign investors reduced buying pressure in equities and other risk-sensitive assets. … Read more
Rupee Supported by Foreign Fund Inflows Despite Oil Price Headwinds The Indian rupee found some support this week as foreign capital flowed into domestic stock markets, according to forex traders. That buying interest helped offset part of the downward pressure caused by rising crude oil prices. How foreign inflows cushion the currency When overseas investors … Read more
Rupee’s Gain Short-Lived as Dollar Demand Reasserts The rupee briefly strengthened past the 89 mark on Tuesday, but the move did not last. Persistent demand for the dollar pushed the local currency back, reversing the earlier gains within the same session. What happened in the market Early trading saw the rupee inch stronger as sellers … Read more
Rupee Finds Support from Lower Oil, But Outflows Keep It Vulnerable Falling crude oil prices gave the Indian currency some breathing room, helping it hold steady at lower levels. Yet forex analysts warn that steady withdrawal of foreign funds is limiting any meaningful recovery and keeping the rupee under pressure. How lower crude helped Crude … Read more
Reports Suggest a Shift in India’s FX Management Regime Recent reports indicate a possible change in how India manages its foreign exchange (FX) policy. This development comes two years after an international body reclassified India’s FX management from a “floating” regime to a “stabilised arrangement” in December 2023. What the 2023 Classification Meant Moving from … Read more
The Indian currency stayed under pressure as a stronger US dollar, weak stock market sentiment and steady withdrawal of foreign capital weighed on the currency, forex analysts said. The combination of these forces has made investors cautious and kept importers and policymakers alert to short-term risks. Why the rupee is facing pressure Strong US dollar: … Read more
RBI sells dollars in NDF markets, keeps pair inside narrow range The Reserve Bank intervened in offshore non-deliverable forward (NDF) markets to open the US dollar lower against the Indian rupee, taking the dollar down to 89.15. Throughout the day the USD/INR traded in a tight band between 89.00 and 89.30, reflecting controlled volatility after … Read more
Stalled US‑India Trade Talks Dent Market Confidence The lack of progress on a US‑India trade agreement has cooled investor sentiment, according to traders. Markets had been hoping a deal would act as a timely policy boost — helping to ease pressure from a widening trade deficit and the slower pace of portfolio inflows. With talks … Read more
The domestic currency found support on the back of a positive start in equity markets and visible intervention by the central bank, forex traders said. The combined effect helped steady the unit after recent swings, keeping volatility in check during early trade. Equity boost calms currency moves Local stocks opened higher, which often reduces demand … Read more