THE RUPEE: divergent trend

Two-way movement was again witnessed on the currency market on Tuesday in process of trading, money experts said. The rupee drifted lower against dollar, losing 12 paisa for buying at 85.88 and 85.93, they said.
In the second Asian trade euro rose to a three-week peak against dollar after a wave of short-covering triggered by a report saying Germany could make concessions on efforts to put together a bailout for Greece, with traders eyeing $1.45 as its next target.
INTERBANK MARKET RATES: Germany is considering dropping its push for an early rescheduling of Greek bonds in order to facilitate a new package of aid loans for Greece, the Wall Street Journal reported, citing people familiar with the matter. "The euro zone problems appear to be subsiding for now. Or putting it another way, the market appears to have stopped looking at them as a factor for now," said Teppei Ino, a currency analyst at Bank of Tokyo-Mitsubishi UFJ, adding that the market could now focus on the heavy schedule for US data releases this week.
Indian rupee was trading at Rs 45.08 versus dollar, Malaysian ringgit was at 3.0090 in terms of the greenback and Chinese yuan was available at 6.4816 in relation to the US currency. Interbank buy/sell rates for taka against the dollar on Tuesday: 73.45/73.60 (previous 73.45/73.52) Call Money Rates: 5.75-10.00 percent (previous 6.00-10.00 percent).
OPEN MARKET RATES: The rupee retained overnight levels in relatin to dollar for buying and selling at 86.10 and 86.30, they added. Meanwhile, the rupee fell sharply versus euro, losing Rs 1.14 for buying and selling at Rs 123.81 and Rs 124.31, they said.

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Open Buying     Rs 86.10

Open Selling    Rs.86.30

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

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Buying          Rs.85.88

Selling         Rs.85.93

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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     13.60     13.90       13.75      13.90        13.79

1-Week        12.50     13.40       13.40      13.50        13.20

2-Week        12.75     13.35       13.35      13.40        13.21

1-Month       12.80     13.30       13.30      13.35        13.19

2-Months      12.85     13.25       13.30      13.35        13.19

3-Months      13.00     13.25       13.30      13.35        13.23

4-Months      13.00     13.25       13.30      13.35        13.23

5-Months      13.10     13.35       13.35      13.40        13.30

6-Months      13.25     13.45       13.40      13.50        13.40

9-Months      13.30     13.60       13.60      13.70        13.55

1-Year        13.40     13.65       13.65      13.75        13.61

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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     13.60     13.90       13.75      13.90        13.79

1-Week        12.60     13.50       13.45      13.55        13.28

2-Week        12.80     13.40       13.35      13.50        13.26

1-Month       12.90     13.40       13.35      13.45        13.28

2-Months      13.00     13.40       13.35      13.45        13.30

3-Months      13.10     13.45       13.30      13.50        13.34

4-Months      13.10     13.45       13.40      13.50        13.36

5-Months      13.25     13.50       13.40      13.60        13.44

6-Months      13.30     13.60       13.45      13.65        13.50

9-Months      13.50     13.70       13.60      13.75        13.64

1-Year        13.50     13.75       13.60      13.90        13.69

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RUPEE IN LAHORE: The rupee remained unchanged on buying side while it lost 5 paisa on selling side in relation to dollar at Lahore currency market on Tuesday.
According to dealers, the dollar commenced trading at overnight Rs 86.10 and Rs 86.30 as buying and selling rates, respectively. However, the dollar closed at Rs 86.10 and Rs 86.35 on buying and selling sides, respectively.
The pound was purchased and sold at Rs 141.40 and Rs 142.20 as compared to Monday]s Rs 141.00 and Rs 142.00, respectively, dealers said.
RUPEE IN ISLAMABAD AND RAWALPINDI: The dollar remained firm against rupee at the currency markets of Islamabad and Rawalpindi on Tuesday.
The dollar resumed trading at Rs 85.60 (buying) and Rs 85.80 (selling) against same last rates. It did not observe further change in the evening session and closed at Rs 85.60 (buying) and Rs 85.80 (selling).
Pound sterling opened at Rs 136.30 (buying) and Rs 136.70 (selling) against same previous rate. It did not witness any change in the evening session and closed at Rs 136.30 (buying) and Rs 136.70 (selling).
Copyright Business Recorder, 2011