Traders familiar with the matter have revealed that India's central bank has once again stepped into the domestic forex market, selling US dollars to further bolster the strength of the local currency, the rupee. Sources requested anonymity as they were not authorized to speak publicly on the matter.

The US dollar slipped 0.5% against the Indian rupee, reaching 94.4763, with the intraday decline touching as much as 0.7%. Officials at the Reserve Bank of India have yet to respond to emails seeking comment on the development.