Trump tariff salvo sees India central bank return to out-of-favour rupee derivative tool

Trump tariff salvo sees India central bank return to out-of-favour rupee derivative tool

By Nimesh Vora MUMBAI, August 7 (Reuters) -The Reserve Bank of India has resumed intervention in the non-deliverable forwards market over the past fortnight to manage rupee volatility triggered by mounting trade tensions with the United States, four bankers told Reuters. This marks a return to a tool the central bank had largely refrained from using over the past seven months since Sanjay Malhotra took over as RBI governor and dialled back on cu…

Rupee likely to rise after central bank rattles short NDF bets

Source: Live Mint MUMBAI, Aug 8 (Reuters) – The Indian rupee is poised to appreciate at open on Friday after traders unwound short positions in the non-deliverable forward (NDF) market, following the central bank’s firm defence of a key level. The 1-month non-deliverable forward indicated the rupee will open in the 87.48 to 87.52 range versus the U.S. dollar, higher than 87.7025 on Thursday. The Indian currency had rallied in the NDF market a…