Overview
- The currency finished Monday at 89.98 per dollar after trading between 89.88 and 89.99 through the session.
- Foreign portfolio investors continued to sell, with exchange data showing Rs 317.56 crore offloaded in the previous session and analysts citing persistent equity withdrawals.
- India’s forex reserves rose to USD 693.318 billion in the week ended December 19, which traders say has bolstered the RBI’s capacity to manage volatility.
- Market reports point to early stabilisation after this month’s breach of 90, crediting RBI actions including a USD 5 billion buy–sell swap and softer dollar strength.
- An end‑year analysis pegs 2025’s rupee decline near 4.7–5.2% and outlines a 2026 base‑case trading range of Rs 88–92, contingent on global rates, tariffs and the return of foreign inflows.