RBI measures, intervention spark rupee's sharpest rally in six months

On Monday, the Indian rupee gained about 1% after the Reserve Bank of India announced measures to curb dollar demand. Oil companies' dollar purchases will now be directed away from the spot market, easing pressure on the rupee. This intervention aims to address the mounting balance of payments challenges due to high oil prices. However, analysts remain cautious about the sustainability of the rupee's recovery moving forward.