The Indian rupee enjoyed a three-day winning streak, buoyed by an influx of dollars. However, its climb was met with potential intervention from the Reserve Bank of India (RBI) to curb excessive appreciation.

The rupee closed at 82.7575, surpassing its previous day's closing of 82.7850. It even reached a six-month high of 82.65 during intraday trading. Analysts believe the RBI likely purchased dollars through state-run banks to prevent the rupee from strengthening too much.

"Strong inflows, healthy fundamentals, and a weakening dollar" contributed to the rupee's rise, as noted by Amit Pabari, managing director at CR Forex. He expects the rupee to inch towards 82.50 but cautions that significant gains might be limited by the RBI's dollar buying and importer demand.

Adding to the rupee's momentum was the maturity of the RBI's $5 billion rupee sell-buy swap on Monday. Instead of rolling over the swap, the RBI opted to take delivery, aiming to boost foreign exchange reserves and rupee liquidity.

The rupee also drew strength from its Asian counterparts, which gained ground due to a decline in U.S. Treasury yields. The Korean won and Indonesian rupiah, for instance, rose by 0.8% and 0.4% respectively.

Investor focus now shifts to the release of U.S. February inflation data on Tuesday, following a higher-than-anticipated inflation print in January. This data will likely influence currency markets globally.