India's forex reserves fall by $4.9 billion to $780.7 billion
India's foreign exchange reserves dropped by $4.9 billion in the previous week, falling to $780.7 billion. The decline was driven by reduced valuations of gold holdings and a fall in foreign currency assets.
The Reserve Bank of India likely intervened in the forex market by selling dollars to check rupee depreciation. Some market analysts suggest that pending conversion of FCNR(B) inflows may have already undergone currency swaps, contributing to the reserve movement.
