The Indian Rupee Just Had Its Best Day In 4 Years

The Indian rupee rollercoaster ride continues.

After booking its biggest loss in years 18 years, the rupee surged 3.2% against the dollar today. This was the biggest gain since May 2009.

Late Wednesday, the Reserve Bank of India said it will enter into USD-INR swaps with state-owned oil-marketing companies.

"The RBI will meet the entire daily dollar requirement of three public sector oil-marketing companies through a sell/buy USD-INR swap for a fixed tenor, thereby removing the largest source of dollar demand from the market," noted Morgan Stanley's Hans Redeker.

Here's the intraday chart via Bloomberg.com.