The Indian rupee strengthened to around 95.62 per dollar after touching a three-week low, helped by a weaker dollar and U.S. Treasury yields. The dollar index fell 0.88% on Wednesday, its biggest decline since mid-March, after the U.S. Treasury planned to double liquidity-support buybacks for longer-dated bonds to at least $4 billion per operation. The move eased pressure in the U.S. bond market. The rupee’s recovery may remain limited while Brent crude trades near $92 a barrel and markets assess the U.S.-Iran conflict and shipping disruption through the Strait of Hormuz. RBI Governor Sanjay Malhotra said the Reserve Bank of India’s net short forward-dollar position remains “very manageable” and that the central bank expects at least $80 billion in inflows from FCNR(B) deposits and foreign-currency borrowing. He said intervention would focus on curbing volatility and speculation, while the earlier FCNR(B) swap closure reflected stronger inflows and rising sterilisation costs.