RBI intervention, oil price dip help rupee edge modestly higher

The rupee closed at 95.3875 per dollar, up 0.2 percent from its previous close, supported by likely RBI intervention via state-run bank dollar sales and a dip in Brent crude to $77.5 per barrel. The Nifty 50 rose 0.3 percent while the 10-year bond yield dipped 2 basis points as easing oil soothed Indian equities and bonds. Traders noted that policymaker steps to shore up dollar flows have tempered one-way rupee depreciation bets, sparking record corporate FX hedging volumes last month, though fresh US-Iran tensions lifted rupee one-month implied volatility to 5.3 percent from 4.9 percent.