THE RUPEE: all-round gains

Steadier trend was seen on the currency market on Wednesday as the rupee showed firmness versus dollar due to easy availability of the US currency, dealers said. The rupee held the overnight firmness against dollar, gaining four paisa for buying at 85.24 and picked up three paisa for selling at 85.29, they said.
INTERBANK MARKET RATES: In the third Asian trade yen fell broadly, hitting 10-month lows against euro and touching its lowest level in nearly three weeks versus dollar as interest rate differentials widened in favour of US and European currencies. Hawkish comments by Federal Reserve and European Central Bank officials contrasted with the stance taken by the Bank of Japan, which is set to leave interest rates near zero for some time to support the world's third-largest economy as it recovers from the effects of the March 11 earthquake.
The yuan closed up against dollar and approached its record trading high on Wednesday after the People's Bank of China fixed its daily mid-point near an all-time high.
The PBOC has fixed a slew of record high mid-points since the start of this year, indicating the government may be allowing the yuan's exchange rate to appreciate to help fight inflation, partly propelled by high global commodity prices.
OPEN MARKET RATES: The rupee recovered five paisa in relation to dollar for buying and selling at 85.15 and 85.35, they added. The rupee also gained 45 versus euro for buying and selling at Rs 119.68 and Rs 120.18, they said.

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Open Buying     Rs 85.15

Open Selling    Rs.85.35

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

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Buying          Rs.85.24

Selling         Rs.85.29

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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        13.90      13.90

1-Week        11.50     13.50       13.40        13.60      13.00

2-Week        11.60     13.30       13.30        13.40      12.90

1-Month       11.90     13.20       13.25        13.30      12.91

2-Months      12.40     13.25       13.25        13.35      13.06

3-Months      12.90     13.25       13.30        13.40      13.21

4-Months      13.00     13.30       13.30        13.45      13.26

5-Months      13.20     13.45       13.40        13.50      13.39

6-Months      13.35     13.50       13.45        13.55      13.46

9-Months      13.40     13.60       13.50        13.65      13.54

1-Year        13.45     13.60       13.55        13.65      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        12.30     13.60       13.40        13.70      13.25

2-Week        12.40     13.50       13.35        13.60      13.21

1-Month       12.70     13.40       13.35        13.50      13.24

2-Months      13.00     13.45       13.35        13.50      13.33

3-Months      13.10     13.60       13.40        13.70      13.45

4-Months      13.25     13.65       13.45        13.75      13.53

5-Months      13.40     13.70       13.50        13.75      13.59

6-Months      13.50     13.75       13.70        13.90      13.71

9-Months      13.60     13.80       13.75        13.95      13.78

1-Year        13.50     13.90       13.80        14.00      13.80

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RUPEE IN LAHORE: The rupee marginally declined by five-paisa against the greenback amid lackluster situation in the local currency market on Wednesday.
According to the moneychangers, the dollar commenced trading at its overnight closing of Rs 85.15 and Rs 85.35 on buying and selling sides, respectively. At the end of trading, the dollar's buying rate remained intact at Rs 85.15 while its selling rate, amid low trading activity, was improved to Rs 85.40.
However, the rupee recovered some of its earlier loss and appreciated its worth against the pound sterling. The pound's buying and selling rates were declined from Tuesday closing of Rs 136.65 and Rs 137.50 to Rs 136.50 and Rs 137.30 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 Wednesday.
The dollar resumed trading at Rs 85.25 (buying) and Rs 85.35 (selling) against the last rate. It did not observe further change in the evening session and closed at Rs 85.25 (buying) and Rs 85.35 (selling).
Pound Sterling opened at Rs 136.40 (buying) and Rs 137.50 (selling) against the previous rate. It did not witness any change in the evening session and closed at Rs 136.40 (buying) and Rs 137.50 (selling).
Copyright Business Recorder, 2011