The rupee ended nearly flat on Monday after a volatile session. It touched about 96.15 against the dollar in early trade, then recovered to close near 95.98.

Traders said the Reserve Bank of India stepped in to limit the fall. The central bank is known to sell dollars when the currency weakens sharply.

Rising crude oil prices put pressure on the rupee through the day. Costly oil raises India’s import bill and widens the trade deficit.

Dealers said demand for dollars from importers added to the weakness. However, suspected RBI intervention helped the rupee pull back from its lows.

Analysts expect the rupee to stay under pressure while oil prices remain high. They say the central bank will continue to smooth sharp moves in the currency market. Currency traders said they are watching the RBI’s next steps closely in the coming days. The RBI has repeatedly said it does not target a level but smooths excess volatility.