RBI likely sold dollars around 56.90 - traders

MARKETS-INDIA-RUPEE:RBI likely sold dollars around 56.90 - traders

The Reserve Bank of India likely sold dollars via state-run banks starting at around 56.90 rupees to prevent a further slide in rupee after measures announced to boost the economy disappointed.

India took a handful of measures to help prop up the embattled rupee on Monday, including increasing the limit on foreign investment in government bonds by $5 billion to $20 billion.

At 3:10 p.m., the partially convertible rupee was at 56.80/84 per dollar, after hitting a session low of 56.97 soon after the announcement.

The rupee was still stronger than its close of 57.12/13 on Friday, a day when the currency had dropped to a record low of 57.32.