MUMBAI, Feb 24 (Reuters) - India's foreign exchange
reserves fell for the third straight week to hit an
eleven-week low of $561.27 billion as of the week ended Feb. 17,
the Reserve Bank of India's (RBI) statistical supplement showed
on Friday.
The reserves fell by $5.68 billion at the end of last week,
data showed.
The reserves stood at $566.95 billion in the week to Feb.
10, down $8.3 billion from the previous week.
The central bank intervenes in the spot and forwards market
to prevent exchange rate volatility. The RBI has said in the
past that changes in reserves also stem from valuation gains or
losses.
Earlier this week, Reuters had reported that the RBI was
intervening in both the offshore and onshore markets to shield
the rupee from the fallout of investors lifting their
expectations on the U.S. Federal Reserve's terminal rate.
Last week, the rupee fell 0.4% against the dollar, logging
its fourth consecutive weekly decline, but outperformed its
Asian peers. The local currency traded in a thin range of
82.5750 to 82.8975 last week. The rupee was little changed against the dollar this week,
and ended at 82.75.
(Reporting by Siddhi Nayak; Editing by Savio D'Souza)
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