The Reserve Bank of India has been instrumental in keep volatility muted, intervening regularly in spot, non-deliverable forwards and futures, according to traders. "You have U.S. yields, oil risk, a well supported dollar and portfolio outflows. All through this, the rupee has basically done nothing," an FX salesperson at a bank said.
The rupee closed at 83.25, little changed from its close at 83.2450 in the previous session. The currency traded in a narrow 83.2450 to 83.27 range in the spot session.
The local unit finally settled at 83.18 (provisional), reflecting losses of 6 paise over the last close. On Friday, the rupee closed flat at 83.12 against the US dollar.