MUMBAI: The Indian rupee spiked, breaching 56 to the dollar, on market chatter that the central bank has asked state oil companies to restrict purchases of dollars through four state-run banks, but senior officials from the RBI and oil firms said the talk was not true.
A senior official at the Reserve Bank of India called the rumours "preposterous" and said he was not aware of any such directive being issued.
Senior officials from state-run oil companies HPCL and BPCL also denied receiving any such directive.
