Khoon Goh of ANZ Research said rupee is falling basically due to dollar strength and could depreciate another 2-4 percent.
Emerging markets (EMs) currencies are seeing weakness due to the strengthening dollar index, says Qi Gao of Scotiabank.
While higher purchases could widen India's trade deficit given bullion accounts for a major chunk of its imports, they would underpin global gold prices that have come off 7 percent from two-year highs hit in July as expectations of a US interest rate hike by year-end strengthened the dollar.
Paul Mackel, Managing Director-Head Of Asian Currency Research, HSBC expects to rupee to be around 69/USD by year-end and at similar levels by end of FY17.
The denial by a spokeswoman for Montreal-based Bombardier followed a Wall Street Journal report on Wednesday that cited unnamed sources as saying that Bombardier and Siemens were in such talks.
The central bank's comments on the economy and inflation after its two-day pow-wow appeared to do little to drastically change wide expectations that the first rate hike will come in September or possibly December.
Modi held a roundtable with the heads of major Canadian financial institutions in Toronto on Thursday, stressing that his government is focused on reducing bureaucracy and investment hurdles, and adding it would welcome investments in infrastructure projects.
ECONOMY-POLL-INDIA:Reuters Poll - India's growth pace to pick up as reforms draw investment
The RBI to decide on rates on Tuesday. While the consensus still is towards no hike in policy rates, RBI chief Raghuram Rajan's comments will be closely watched for future rate trajectory after his recent hawkish comments.
CNBC-TV18's Gopika Gopakumar reports that Winsome Diamonds could be the next big non-performing asset (NPA) on the books of 15 banks. After rating agencies downgraded the Rs 4,000-crore Winsome Diamonds, lenders say payments could be delayed, but they are confident of recovering dues from the company.
BlackBerry shares rose 14 percent on Monday, fueled by takeover speculation and news that AT&T Inc will start selling the new BlackBerry Z10 touchscreen smartphone in the United States on March 22.