Rupee expected to remain under pressure in near-term

New Delhi: The Indian currency is expected to remain under pressure in the near-term amidst a combination of negative global cues as well as domestic factors at play, said Bank of Baroda in a report.

However, the central bank RBI is likely to intervene in the forex exchange market to support the rupee and prevent any sharp depreciation in the exchange rate.

The Indian rupee slipped to a fresh record low of 78.04 per US dollar this week amidst a resurgence in strength in the dollar primarily on account of expectations of aggressive policy tightening by the US Fed this week at the monetary policy meeting.

Increasing risks to global growth have increased the safe-haven demand for dollars, besides reports that China has once again imposed lockdown restrictions in Beijing have severely dented investor sentiments, said the report.

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