Indian rupee closed at 95.79, 2nd day of losses
The Indian rupee closed at 95.79 to the US dollar on Thursday, marking its second day of losses.
The currency has been feeling the heat from weaker Asian markets and importers hedging their bets, even after bouncing back from a record low last month thanks to the Reserve Bank of India's intervention.
Everyone is watching for the Reserve Bank of India's policy review on Friday, hoping it will bring some relief.
Traders expect RBI to support rupee
Traders are betting that the RBI will announce steps to help the rupee, maybe perks for nonresident deposits or cheaper hedging for companies borrowing abroad.
There is talk India could cut taxes on foreign investments in government bonds to attract more money.
Economists mostly think interest rates will stay put, but if supportive measures do not show up, the rupee could face more pressure, especially since exporters are not getting much incentive to hedge right now.