Rupee gains 42 paise against US dollar
The Indian rupee jumped 42 paise to 91.61 against the US dollar on Monday—its best single-day gain since December 19, 2025.
The RBI stepped in by selling dollars through state banks, stopping the rupee from sliding past the key 92 mark.
RBI's intervention helps rupee hold above 92 mark
After huge equity outflows since 2025, a stronger rupee helps keep import costs down and lifts investor mood—especially with the RBI's policy meeting coming up on February 6, 2026.
Holding above 92 also brings some stability to trade and the economy during a shaky budget season.
Budget blues and heavy borrowing plans weigh on markets
Heavy government borrowing plans, higher taxes on F&O trades, and not-so-bold budget reforms put pressure on markets, leading to Sunday's steep equity drop.
This pushed up demand for dollars, so the RBI had to act fast in both spot and overseas markets to steady things.