Traders said that the sale of dollars by state run banks on behalf of the Reserve Bank of India helped to do more damage to the currency, traders said. Rupees trades in the range of 84.45/$ 1 to 84.95/$ 1 during the day.
Reduction of currency below 84.50/$ 1 threshold introduced the best opportunity for exporters to sell D Dollars and effectively with their foreign exchange exposure.
“For exporters for their contact. Dollars Lar was sold above 84.7575 // $ 1 level. During the day there was sufficient demand for DOLLAR Lord and the potential interference by the RBI ensured that the currency did not go beyond the level of 84.95 //.”
Asian currencies were low day, Indonesian rupee was down 0.5%, showing LSEG data.
Investors are waiting for the Federal Reserve policy decision the next day, the benchmark interest rate is not expected to change.
Separately, the yield on a 10-year benchmark government security was below two basis points compared to the previous nearest 6.33%, CCL data showed.
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