On the interbank market, the national currency drifted lower, shedding 45 paisa against the dollar at 96.60 and it lost 47 paisa for selling at 96.65 in process of strong demand for the US currency.
On the open market, the rupee also lost 35 paisa in relation to the dollar for buying at 97.35 and 97.55, while the rupee fell versus the euro, losing 50 paisa for buying and selling at Rs 125.20 and Rs 126.20.
In the beginning of week, the rupee tumbled after aggressive buying of dollars by importers. Besides, massive buying of dollars propelled small investors or profit seekers to bag dollar, which created shortage problem.
A huge gap between imports and exports was raising uncertainty among country's traders and businessmen. All discouraging developments in the country have made exports of several items difficult, particularly during the first five months of the current fiscal year.
The International Monetary Fund's (IMF) forecasted that the country will need huge financing in days to come and the Fund also said that Pakistan needed to cut subsidies and widen the tax base to meet all kinds of challenges.
The rupee, which resisted decline versus the dollar, but market players were said how far the rupee sustain it's stability it will emerge next week, analysts said. Apparently, it looks that the national currency, somehow managed to halt its erosion against the dollar, but some of them said that recovery may prove short-lived ahead of huge payments for the IMF and oil bills.
Reaction of the statements by the IMF in the currency market will emerge when the business will start next week, experts said. Some money experts said since the payments started, panic buying was seen from all fronts particularly from importers, because they want to cover forward buying as much as they can.
In the meantime, one factor is appeared and that is speculative buying largely dominated by speculators or rumour mongers. This negative factor is helping dollarisation culture in the country, they added. If sometimes, the central bank intervenes to stabilise the rupee, but it proved short-lived. locally, oil and other so many luxurious items are included in imported products most of the items are easily available in the country, why the government do not discourage the import of those which are available, depending on import is giving an impression that we are adopting it as a life style or as a status looking as a part of our culture. Unfortunately, we belong to a country, which is depending on debt or loans to meet its basic needs, but one factor, which is true but very painful, is that our country is rich in mineral and natural resources, but inability of the governments to use the resources is the basic reason behind the country's weak basic fundamentals.
Commenting on the persisting fall of the rupee, to keep a balance between demand and supply of dollar, Malik Bostan, President of the Exchange Companies Association of Pakistan (ECAP) said the government must take some practical measures, such for example luxurious products or items imported by our country must be restricted or banned by the government.
INTER-BANK MARKET RATES: On Monday, the rupee lost 10 paisa in relation to the dollar for buying and selling at 96.15 and 96.18. On Tuesday, the rupee shed five paisa in relation to the dollar for buying at 96.20 and it fell by six paisa for selling at 96.24. On Wednesday, the rupee fell sharply against the dollar, losing 24 paisa for buying and selling at 96.44 and 96.48.
On Thursday, the rupee extended its fall against the dollar, losing 16 paisa for buying 96.60 and it shed 17 paisa for selling at 96.65. On Friday, the rupee retained its levels against the dollar for buying and selling at 96.60 and 96.65.
OPEN MARKET RATES: On November 26, the rupee shed 15 paisa against the dollar for buying and selling at 97.00 and 97.20. The rupee lost 70 paisa further versus the euro for buying and selling at Rs 124.70 and Rs 125.70. On November 27, the rupee failed to resist fresh erosion, losing 10 paisa against the dollar for buying and selling at 97.10 and 97.30. While, the rupee held the overnight levels versus the euro for buying and selling at Rs 124.70 and Rs 125.70. On November 28, the rupee dropped by 15 paisa in relation to the dollar for buying and selling at 97.25 and 97.45. The national currency, however, gained 10 paisa against the euro for buying and selling at Rs 124.60 and Rs 125.60. On November 29, the rupee dropped 20 paisa in relation to the dollar for buying and selling at 97.45 and 97.65. The national currency also lost 40 paisa against the euro for buying and selling at Rs 125.00 and Rs 126.00. On November 30, the rupee picked up five paisa in relation to the dollar for buying and selling at 97.40 and 97.60. The national currency also lost 40 paisa against the euro for buying and selling at Rs 125.40 and Rs 126.40. On December 1, the rupee extended its overnight gains after picking up five paisa more against the dollar for buying and selling at 96.35 and 96.55. The national currency also gained 20 paisa against the euro for buying and selling at Rs 125.20 and Rs 126.20.
WORLD VALUE OF DOLLAR: In the first Asian trade, the euro hit a seven-month high against the yen and held near a one-month peak versus the dollar, supported by hopes that Greece will finally secure new emergency loans to keep it afloat.
Euro zone finance ministers meet on Monday for a third time in as many weeks to hammer out a deal to get international lenders to release aid to Greece in time for debt repayments due mid-December. Inter bank buy/sell rates for the taka against the dollar on Monday: 81.10-81.25 (previous 81.05-81.20). Call Money Rates: 07.75-07.90 percent (previous 05.80-08.50 percent). The dollar was trading against the Indian rupee at Rs 55.68, the greenback was at 3.0535 in terms of the Malaysian ringgit and the US currency was at 6.2257 versus the Chinese yuan.
In the second Asian trade, the euro hit a one-month high versus the dollar after a deal on a new debt target for Greece but the gains proved fleeting as an agreement had been largely priced in, and some analysts said the single currency could start to lose momentum. The yen slipped after Japan's opposition leader and likely next prime minister after an election next month reiterated calls for bolder monetary and fiscal stimulus to revive the country's economy. The dollar was trading against the Indian rupee at Rs 55.70, the greenback was available at 3.0500 in terms of the Malaysian ringgit and the greenback was at 6.222 versus the Chinese yuan. Inter bank buy/sell rates for the taka against the dollar on Tuesday: 81.20-81.55 (previous 81.10-81.25). Call Money Rates: 07.70-07.75 percent (previous 05.80-08.50 percent).
In third Asian trade, the yen soared and the euro moved away from the previous session's one-month high against the dollar, here on Wednesday as investors' relief about a new debt target for Greece turned to unease over the looming US fiscal crisis.
The dollar was trading against the Indian rupee at Rs 55.45, the US currency was at 3.0525 in terms of the Malaysian ringgit and the greenback was at 6.2273 against the Chinese yuan. Inter bank buy/sell rates for the taka against the dollar on Wednesday: 81.24-81.74 (previous 81.20-81.55). Call Money Rates: 06.00-08.00 percent (previous 05.80-08.50 percent).
In the fourth Asian trade, the euro eased versus the dollar, but its losses were limited after comments from US policymakers rekindled hopes for a deal to avoid a sharp fiscal tightening that could hurt the global economy. "For the moment, the US fiscal cliff seems to be a dominant theme in the market," said Katsunori Kitakura, associate general manager of market-making at Sumitomo Mitsui Trust Bank.
The dollar was trading against the Indian rupee at Rs 55.45, the US currency was at 3.0525 in terms of the Malaysian ringgit and the greenback was at 6.2273 against the Chinese yuan. Inter bank buy/sell rates for the taka against the dollar on Wednesday: 81.24-81.74 (previous 81.20-81.55). Call Money Rates: 06.00-08.00 percent (previous 05.80-08.50 percent).
In the final Asian session, the yen dropped after month-end selling from Japanese firms triggered more stop-loss selling, but concerns about the deadlock over the US "fiscal cliff" helped to keep it above last week's 7-1/2-month low versus the dollar.
The euro stayed near a one-month high against the dollar and hit a seven-month high against the yen, helped by falling Italian and Spanish bonds yields.
The dollar against the Indian rupee was at Rs 54.48, the greenback was trading versus the Malaysian Ringgit at 3.0375 and in terms of the Chinese yuat, the US currency was at 6.2263 for per unit.
As a result balanced demand and supply of dollar, the rupee maintained firmness against the greenback on the currency market on Saturday, dealers said.
Money experts attributed the rise in the value of the rupee to slight fall in demand for the US currency, in the meantime, curiosity is rising among both buyers and seller that how the rupee perform next week to the IMF's reviews about the Pak economy and what proposals were suggested by the Fund.
A host of negative developments in the basic fundamentals, dragging the rupee down versus the dollar, they said.
OPEN MARKET RATES: The rupee extended its overnight gains after picking up five paisa more against the dollar for buying and selling at 96.35 and 96.55, they said. The national currency also gained 20 paisa against the euro for buying and selling at Rs 125.20 and Rs 126.20, they said.
At the week-end, the euro rose to its highest in more than five weeks against the dollar, heading for its fourth straight month of gains, as investors clung to hopes that US politicians would reach a fiscal deal before the end of the year.
The yen slumped and was on track for its worst month since February against the dollar on speculation that a likely change in Japan's government would lead to aggressive monetary easing.
As a result balanced demand and supply of dollar, the rupee maintained firmness against the greenback on the currency market on Saturday, dealers said.
Money experts attributed the rise in the value of the rupee to slight fall in demand for the US currency, in the meantime, curiosity is rising among both buyers and seller that how the rupee perform next week to the IMF's reviews about the Pak economy and what proposals were suggested by the Fund.
A host of negative developments in the basic fundamentals, dragging the rupee down versus the dollar, they said.