India's Forex Reserves Fall For 2nd Consecutive Week To $589.19 Billion

The central bank intervenes in the spot and forwards markets to prevent runaway moves in the rupee.

India's foreign exchange reserves fell for a second consecutive week and stood at a one-month low of $589.14 billion as of May 26, the Reserve Bank of India's (RBI) data showed on Friday. That was a decrease of $4.34 billion from the previous week.

Reserves had fallen by $6.05 billion in the week ended May 19, the biggest fall in more than three months.

The central bank intervenes in the spot and forwards markets to prevent runaway moves in the rupee.

The changes in foreign currency assets, expressed in dollar terms, include the effects of appreciation or depreciation of other currencies held in the RBI's reserves.