As of September 5, 2025, India’s foreign exchange reserves rose to $698.3 billion, approaching record levels last seen in September 2024. The growth was largely driven by a significant increase in gold holdings, helping the central bank diversify its reserves amid global uncertainties.
Looking ahead, the Indian markets are expected to maintain a positive yet cautious outlook. The recent performance of the Nifty suggests that the upward trend could continue if global economic conditions and domestic policy remain favorable.
The Indian rupee is likely to remain stable next week, supported by healthy forex reserves and proactive measures from the RBI. Nevertheless, investors should stay alert for any geopolitical developments or global economic shifts that could affect currency movements.
Key events to watch in the coming week include updates on US Federal Reserve policies, inflation data, domestic fiscal announcements, and corporate earnings reports. These factors will likely influence market sentiment and trading decisions.
Investors are advised to maintain a diversified portfolio approach and stay informed about upcoming economic and policy developments to navigate possible market volatility.