Home »Top Stories » THE RUPEE: fresh gains posted

The rupee managed to gain sharply against the dollar on the currency market during the week, ended on January 21, 2017. In the open market, the rupee managed to recover 80 paisas in terms of the dollar for buying and selling at Rs 107.60 and Rs 107.80.

The rupee, however, gained 20 paisas in terms of the euro for buying and selling at Rs 114.10 and Rs 115.60.

In the interbank market, the rupee depicted no major change in relation to the dollar for buying and selling at Rs 104.85 and Rs 104.86.

Commenting on the appreciation in the value of the rupee against the dollar, some currency viewers said that after a long-time period, foreign direct investment (FDI) has showed a sign of improvement as inflows went up 10 percent. Whereas, country's foreign exchange reserves, amounted to 23.2 billion dollars.

At the beginning sessions of the week, the currency viewers observed that the rupee showed slight recovery versus the dollar as a result of the State Bank of Pakistan's (SBP) move, in which the bank has exempted moneychangers from surrendering a certain percentage of imported dollars to banks.

The SBP showed concern about the appreciation of the dollar in the open market.

Earlier, the moneychangers were bound to surrender 10 percent of imported dollars to banks. The central bank had temporarily lifted this condition.

OPEN MARKET RATES: On Monday, the rupee stayed put in terms of the dollar for buying and selling at Rs 108.40 and Rs 108.60. The rupee picked up 45 paisas in terms of the euro for buying and selling at Rs 114.30 and Rs 115.80.

On Tuesday, the rupee rose by 10 paisas in terms of the dollar for buying and selling at Rs 108.30 and Rs 108.50. The rupee, however, fell sharply against the euro, losing Rs 1.10 for buying and selling at Rs 115.40 and Rs 116.90.

On Wednesday, the rupee maintained surge in terms of the greenback, picking up 10 paisas more for buying and selling at Rs 108.20 and Rs 108.40. The rupee also gained 40 paisas against the euro for buying and selling at Rs 115.00 and Rs 116.50.

On Thursday, the rupee recovered more 40 paisas in terms of the dollar for buying and selling at Rs 107.80 and Rs 108.00. The rupee also appreciated by Re one against the euro for buying and selling at Rs 114.00 and Rs 115.50. On Friday, the rupee recovered more 10 paisas in terms of the dollar for buying at Rs 107.70 and it did not show any change for selling and Rs 108.00. The rupee shed 10 paisas versus the euro for buying and selling at Rs 114.10 and Rs 115.60.

On Saturday, the rupee recovered more 10 paisas in terms of the dollar for buying at Rs 107.60 and it also gained 20 paisas for selling and Rs 107.80.

The rupee, however, lost 30 paisas in terms of the euro for buying and selling at Rs 114.10 and Rs 115.60.

INTER-BANK MARKET: On January 16, the rupee shed two paisas against the dollar for buying and selling at Rs 104.86 and Rs 104.87. On January 17, the rupee almost held the overnight levels versus the dollar for buying and selling at Rs 104.85 and Rs 104.86.

On January 18, the rupee was unchanged in relation to the dollar for buying and selling at Rs 104.85 and Rs 104.86. On January 19, the rupee inched up by one-paisa in relation to the dollar for buying and selling at Rs 104.84 and Rs 104.85. On January 20, the rupee gave up overnight gains in relation to the dollar for buying and selling at Rs 104.85 and Rs 104.86.

OVERSEAS MARKET OUTLOOT FOR DOLLAR: In the first Asian trade, Sterling stole the spotlight from the dollar, which has come under pressure in recent sessions as investors pondered what to expect from US President-elect Donald Trump's economic policies.

The dollar was available at Rs 68.15 versus the Indian rupee, the greenback was at 4.4640 in relation to the Malaysian ringgit and the US currency was at 6.8919 against the Chinese yuan.

Inter bank buy/sell rates for the taka against the dollar on Monday: 78.88-78.88 (previous 78.85-78.86).

In the second Asian trade, the British pound flirted with a three-month low, hit by fears that Prime Minister Theresa May's speech later in the day is likely to set Britain on a course that would end its access to the lucrative European Union single market.

The pound was on the defensive at $1.2045, having slumped to a three-month low of $1.1983 on Monday, which was its weakest point in more than three decades barring the several minutes in early Asian trade on October 7 when it tanked to as low as $1.1491.

Against the euro, the pound hit a 10-week low of 88.53 pence per euro on Monday before edging back to 88.06. Against the yen, sterling hit an eight-week low of 136.81 on Monday.

The dollar was trading against the Indian rupee at Rs 68.04, the greenback was available at 4.4635 in terms of the Malaysian ringgit and the US currency was at 6.8819 versus the Chinese yuan.

Inter bank buy/sell rates for the taka against the dollar on Tuesday: 78.88-78.92 (previous 78.88-78.88).

In the third Asian trade, the dollar took a breather after falling to a seven-week low against the yen as investors await Federal Reserve Chair Janet Yellen's speech on monetary policy, while sterling gave back some of the previous session's rally.

The euro slipped 0.2 percent to $1.06970, after it hit a high of $1.07195 on Tuesday, its highest since December 8.

The dollar was trading against the Indian rupee at Rs 67.92, the greenback was at 4.4435 versus the Malaysian ringgit and the US currency was at available at 6.8596 in terms of the Chinese yuan. Inter bank buy/sell rates for the taka against the dollar on Wednesday: 78.93-78.95 (previous 78.88-78.92).

In the third Asian trade, the dollar took a breather after falling to a seven-week low against the yen as investors await Federal Reserve Chair Janet Yellen's speech on monetary policy, while sterling gave back some of the previous session's rally.

The greenback added 0.4 percent to 113.05 yen, after hitting a seven-week low of 112.57 yen. The yen had strengthened for seven straight sessions.

The dollar index, which measures it against a basket of six major peers, last stood at 100.50, up 0.2 percent, after falling to 100.26 on Tuesday, its lowest since December 8. The euro slipped 0.2 percent to $1.06970, after it hit a high of $1.07195 on Tuesday, its highest since December 8.

The dollar was trading against the Indian rupee at Rs 67.92, the greenback was at 4.4435 versus the Malaysian ringgit and the US currency was at available at 6.8596 in terms of the Chinese yuan. Inter bank buy/sell rates for the taka against the dollar on Wednesday: 78.93-78.95 (previous 78.88-78.92).

In the fourth Asian trader, the dollar inched up against the yen and kept broad gains against other major peers, after rebounding sharply overnight on comments by Federal Reserve Janet Yellen suggesting U.S interest rates could be raised quickly this year.

The dollar was trading against the Indian rupee at Rs 68.22, the greenback was at 4.4495 in terms of the Malaysian ringgit and the US currency was at 6.8555 in relation to the Chinese yuan.

Inter bank buy/sell rates for the taka against the dollar on Thursday: 78.95-78.95 (previous 78.93-78.95).

In the final Asian trade, the dollar lost momentum on as US Federal Reserve Chair Janet Yellen spoke of a gradual pace of rate hikes and sounded less hawkish than some had expected, while investors braced for US President-elect Donald Trump to be sworn in.

The dollar index, which tracks the greenback against six major currencies, fell 0.2 percent to 100.97. It was on track to shed 0.2 percent for the week.

The dollar came off peaks after Fed Chair Yellen spoke at the Stanford Institute for Economic Policy Research in early Asian trading hours.

Yellen noted the US central bank should continue to raise interest rates slowly to keep inflation low and jobs plentiful and avoid harming the recovery the Fed has sought to nurture.

At the weekend, the dollar edged lower in choppy trading as investors found few reasons to make big bets on the US currency following newly sworn-in President Donald Trump's inauguration speech.

The dollar index, which tracks the greenback against six major currencies, briefly fell to session lows during Trump's remarks in which he pledged to put "America first," reigniting some worries of protectionist policies.

But the decline was modest as Trump did not touch on specific economic or trade policies.



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