Indian central bank likely selling dollars to support rupee, traders say

The Indian central bank was likely selling dollars on Friday to limit the rupee’s losses and prevent it from hitting a record low, five traders told Reuters.

The rupee was quoted at 85.77 to the U.S. after dipping to an intraday low of 85.7950 in afternoon trade amid a fall in the Chinese yuan and an uptick in the dollar.

The domestic unit had hit a record low of 85.8075 last week.

State-run banks were spotted offering dollars, mostly likely on behalf of the Reserve Bank of India (RBI), around 85.77-85.79 levels, traders said.