The Reserve Bank of India's (RBI's) short dollar forward positions rose by $6 billion in September - the first increase in seven months - indicating the central bank's readiness to defend the rupee in the forward market amid pressure on the currency, latest data showed. The net short dollar position stood at $59.4 billion at the end of September, up from $53.4 billion in August.
While liquidity in the banking system has turned surplus in the last few weeks, it could go back to deficit again, mainly due to corporate advance tax outflows. The net liquidity surplus of the banking system rose to touch Rs 1 trillion on Tuesday on the back of government spending, according to the data released by the Reserve Bank of India.
The recent depreciation of the rupee along with sharp fall in the country's foreign exchange (FX) reserves has sparked a debate whether stability of the exchange rate is necessary and desirable. The rupee was one of the least volatile currencies among peers for almost two years before the current downward pressure started in September after the US Federal Reserve lowered interest rate.
The rupee tumbled 3 per cent against the US dollar in 2024 as concerns over slower economic growth and a stronger greenback in global markets weighed, but it was among the least volatile currencies in the world and the headwinds may be less intense in the coming year.
The rupee on Friday rebounded from the near-80 levels to close higher by 17 paise at 79.82 against the US currency following a recovery in the domestic stocks and weakness in the greenback in overseas markets. The US dollar retreated from the two-decade high levels against a basket of six currencies which supported the rupee sentiment. At the interbank foreign exchange market, the local currency opened at 79.95 and witnessed an intra-day high of 79.82 and a low of 79.96 against the US dollar in the day trade. ,
The PFI is alleged to have been continuously involved in anti-government propaganda and spreading the narrative that Muslims were being persecuted in India.
'A strong foreign exchange reserve is the best safety net against global spillovers.'
Officials said PFI has been under the radar of security agencies for its alleged role in violent protests in different parts of the country.
Foreign arms of many Indian firms under lens, have to seek approval to launch certain products
Bigger players tap non-deliverable forwards market to make a killing.
The Kerala police is probing alleged links of radical PFI, blamed for the attack on a college lecturer, with terror outfits Hizbul Mujahideen, Lashkar-e-Taiba and Al Qaeda, but not found any evidence so far, the state government informed the High Court on Monday.
The Muslim politics in Kerala has taken a turn with the advent of the Popular Front, a political party floated with the support of four Islamic organisations of South India.
Choksi is wanted in India by the CBI and the Enforcement Directorate, which are probing the PNB fraud, the biggest banking scam in the country. India continues to pursue Choksi's return with the government of Antigua through diplomatic and legal channels.
The RBI recently met with a handful of foreign banks and asked them to stop acting as market-makers for rupee NDFs, according to three bankers involved in the discussions.
It does feel like we are close to the end of the rupee's rally, says Jamal Mecklai.
Following on the footsteps of Barack Obama, a Dalit should be made the prime minister of India and Union Minister Ramvilas Paswan is the ideal candidate, the National Dalit Front said on Wednesday. "Change is taking place at a global level. The time has now come for India to have a Dalit prime minister," Udit Raj, the secretary general of the recently-launched NDF said in New Delhi.
The Reserve Bank of India (RBI) will have to take far more pro-active steps to rebuild forex reserves, because if the status quo remains, rupee could touch 75 per US dollar by the end of 2014, Bank of America Merrill Lynch said in a report.
Official sources said that the federal probe agency, which is investigating the PFI under the PMLA)tka since 2018, has found that at least Rs 1.04 crore were deposited in several bank accounts linked to the organisation between December 4 last year and January 6 this year in various parts of the country.
The NDFB has expressed its wish to consider entering into talks with the state govt for ceasefire.
In its first bi-monthly policy, the RBI, in order to enhance hedging facilities for foreign investors in debt instruments, proposed to allow them to hedge the coupon receipts falling due during the next 12 months.
The gains will provide a much-needed reprieve after the rupee fell for a fifth week and hit an over two-month low last week in trade.
However, the Indian capital markets regulator rejected the claim saying it neither received any such request, nor provided any such information to the concerned department in Antigua.
RBI is unlikely to stem the slide against the dollar as the greenback is rising rapidly against all currencies in the world.
ONGC was the top gainer which surged over 4% followed by Axis, SBI, CIL
Lu Shanglei of China defeated Aleksander Indjic of Serbia and was crowned World junior chess champion at Hotel Hyatt, in Pune, on Sunday. In the girls' section, 16-year-old Alexandra Goryachkina successfully defended her title with a round to spare on Saturday.
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