The Reserve Bank of India has reached a record $110-$115 billion in its net-short dollar book, a key tool for defending the rupee. This significant increase in forward dollar sales, particularly in offshore markets, aims to curb excessive volatility driven by factors like oil price shocks and speculative pressures.

India's foreign exchange reserves saw a slight increase of $938 million, reaching $682 billion by May 29. This rise occurred despite a significant dollar-rupee swap by the Reserve…

Reserve Bank of India's monetary policy measures are seen a coordinated attempt to shift market perception of rupee from depreciation concerns towards stronger capital inflows.…