The Indian rupee rebounded sharply by 50 paise to close at 89.16 against the US dollar on Monday, aided by selling of the greenback by banks and importers, as well as a decline in global crude oil prices, news agency PTI reported. Forex traders also cited suspected intervention by the Reserve Bank of India (RBI) in supporting the domestic currency.

At the interbank foreign exchange market, the rupee opened strong at 89.46 and traded in a range of 89.05 to 89.50 during the day before settling at 89.16.