THE RUPEE: dollar moves both ways

The rupee moved both ways on the currency market on Thursday in process of higher demand for dollars as the US currency crossed the high mark of 86 on the open market in the early hours, dealers said. The rupee shed four paisa in terms of dollar for buying at 85.58 and it slipped by one paisa for selling at 85.60, they added.
INTERBANK MARKET RATES: In the fourth Asian trade euro extended its recovery from a seven-week low hit earlier in the week and the dollar came under broad selling pressure as market players judged that commodity prices have steadied after weeks of decline.
The dollar briefly scaled a three-week high against yen on rebound in US bond yields after the minutes of the Federal Reserve's April meeting were released, but it failed to maintain gains as rising risk appetite hit the US currency. The yuan closed up against dollar for a second day on Thursday after the People's Bank of China set a firmer mid-point, reinforcing expectations the central bank will stick to a policy of yuan appreciation, albeit gradually. Indian rupee was trading at Rs 44.97 versus dollar, Malaysian ringgit was at 3.0265 in terms of the US currency.
OPEN MARKET RATES: The rupee, however, gained 60 paisa versus the greenback for buying and selling at 85.20 and 85.40, they added. The rupee is still under pressure versus euro, falling 50 paisa for buying and selling at Rs 122.50 and Rs 123.00, they said.

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Open Buying     Rs 85.20

Open Selling    Rs.85.60

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Interbank Closing Rates: Interbank Closing Rates For Dollar on Thursday.

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Buying          Rs.85.58

Selling         Rs.85.60

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Repo Rates (Yield p a)

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Tenor       Low Bid   High Bid   Low Offer   High Offer   Average

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Overnight     13.90     13.90      13.90        13.95       13.91

1-Week        12.50     13.40      13.25        13.50       13.16

2-Week        12.70     13.20      13.20        13.30       13.10

1-Month       12.75     13.15      13.10        13.25       13.06

2-Months      12.80     13.15      13.15        13.25       13.09

3-Months      12.90     13.20      13.15        13.25       13.13

4-Months      12.90     13.20      13.20        13.30       13.15

5-Months      13.00     13.35      13.30        13.40       13.26

6-Months      13.20     13.40      13.35        13.50       13.36

9-Months      13.25     13.50      13.50        13.60       13.46

1-Year        13.40     13.60      13.55        13.70       13.56

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Call Rates (Yield p a)

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Tenor       Low Bid   High Bid   Low Offer   High Offer   Average

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Overnight     13.90     13.90      13.90        13.95       13.91

1-Week        12.60     13.45      13.25        13.50       13.20

2-Week        12.75     13.35      13.25        13.40       13.19

1-Month       12.80     13.25      13.15        13.30       13.13

2-Months      12.90     13.20      13.20        13.30       13.15

3-Months      13.10     13.30      13.25        13.35       13.25

4-Months      13.10     13.35      13.25        13.45       13.29

5-Months      13.25     13.45      13.35        13.55       13.40

6-Months      13.30     13.50      13.40        13.60       13.45

9-Months      13.50     13.65      13.60        13.70       13.61

1-Year        13.50     13.75      13.60        13.85       13.68

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RUPEE IN LAHORE: The Pak rupee could not get out of the current pressure and further declined by 40-paisa on buying side and 50-paisa on selling side against the dollar in the open currency market on Thursday.
According to the currency dealers, the dollar witnessed fresh demand that put the local currency under pressure. They were of the view that the general public is buying greenback in anticipation of devaluation of Pak rupee. As a result, the dollar was further strengthened and closed at Rs 86.40 and Rs 86.80 on buying and selling sides against the last day closing of Rs 86.00 and Rs 86.30, respectively, the dealers said.
Likewise, the rupee maintained downward trend and further declined against the pound sterling. The pound's buying and selling rates were increased from overnight closing of Rs 139.00 and Rs 140.00 to Rs 139.50 and Rs 140.50, respectively, the dealers added.
RUPEE IN ISLAMABAD AND RAWALPINDI: The dollar remained unchanged against the rupee at the open currency markets of Islamabad and Rawalpindi here on Thursday.
The dollar resumed trading at Rs 84.50 (buying) and Rs 85.10 (selling) against the last rate. It did not observe further change in the evening session and closed at Rs 84.50 (buying) and Rs 85.10 (selling).
Pound Sterling opened at Rs 136.50 (buying) and Rs 137.60 (selling) against the previous rate. It did not witness any change in the evening session and closed at Rs 136.50 (buying) and Rs 137.60 (selling).
Copyright Business Recorder, 2011