Rupee gains 82 paise to touch 94.96 against dollar in early trade on RBI steps

Market Gains

The rupee gained 82 paise to reach 94.96 against the U.S. dollar in early trade on Tuesday, October 13, 2026. At the interbank foreign exchange market, the currency opened at 95.53 before climbing higher. On Monday, the rupee had risen 93 paise to close at 95.78, marking its steepest single-day gain in more than six months.

RBI Measures

According to forex traders, the rise is driven by recent central bank steps aimed at reducing immediate dollar demand and stopping speculative bets against the local currency. Key moves include a dedicated dollar window for oil marketing companies through designated banks and higher costs for certain foreign exchange hedging transactions. CR Forex Advisors MD Amit Pabari stated that the dollar-rupee pair is expected to move toward the 95.00 to 94.80 range in the near term. On Saturday, the RBI tightened rules for forex derivatives, directing banks to create a 20% reserve for dollar purchases exceeding $2 million and banning users from rebooking cancelled derivative contracts.

Broader Markets

Meanwhile, the dollar index traded lower by 0.15% at 102.43. Brent crude oil fell 1.11% to $105.47 per barrel in futures trade. On the domestic equity side, the Sensex climbed 305 points to 72,224.15, while the Nifty rose 93.40 points to 22,458.50. Foreign Institutional Investors net offloaded equities worth ₹1,708.48 crore on Monday. Government data released on Monday showed that retail inflation rose sharply to 5.54% in September due to high onion and other food prices, up from 4.83% in August as reported by the National Statistics Office.

Context

Central banks use monetary policy tools and foreign exchange market interventions to manage currency stability and control excessive volatility. When a local currency faces heavy downward pressure, authorities often step in to curb speculative trading and manage essential import bills like crude oil purchases.