The Reserve Bank of India (RBI) has sought to prevent potentially inflation-stoking banking system liquidity enhancement through deft currency and bond market interventions, with foreign inflows into local sovereign debt quickening after the country’s inclusion in a globally tracked JP Morgan index. With rates on annualised dollar-rupee forward premia jumping after index inclusion occurred on … Read more
Japanese authorities are facing renewed pressure to combat sharp declines in the yen, as traders drive down the currency on expectations the interest rate differentials between Japan and the United States will remain wide. Below are details on how yen-buying intervention works: LAST CONFIRMED YEN-BUYING INTERVENTION? Tokyo spent 9.8 trillion yen ($61 billion) intervening in … Read more
Mumbai: The Reserve Bank of India (RBI) bought $8.5 billion in the foreign exchange market on a net basis in February, the highest net purchase by the central bank in 32 months, latest data showed. In January, the RBI had net purchased $1.9 billion in the spot market, the central bank’s April 2023 Bulletin showed. … Read more
Mumbai: The Reserve Bank of India (RBI) has, of late, introduced some tweaks to its strategy of forex interventions to allow sporadic flows into the banking system and help partially plug a liquidity gap that has caused short-term borrowing costs for banks and corporates to jump. Multiple currency market traders told ET that over the … Read more
