THE RUPEE: dollar sharply up

Weakness prevailed on the currency market on Saturday as the rupee drifted lower sharply in terms of dollar, dealers said. The rupee failed to retain its overnight firmness, losing 37 paisa against the dollar for buying and selling at 86.57 and 86.62, they said.
INTERBANK MARKET RATES: On Friday the US dollar fell broadly, reversing some of the prior day's sharp gains, as Wall Street stocks rebounded and traders feared a downgrade to the United States' credit rating was imminent. The euro got an added boost after Italy's Prime Minister Silvio Berlusconi pledged to speed up austerity measures and bring the country's budget into balance by 2013.
The news helped temporarily calm markets a day after US stock indexes posted their worst losses in two years. The dollar rallied on Thursday after Japan intervened to curb yen strength and on worries the euro zone debt crisis was spreading.
A report showing stronger-than-expected US jobs growth in July assuaged some concerns the economy was slipping back into a recession, but investors remained jittery.
OPEN MARKET RATES: The rupee for the third day maintained its levels against the US currency for buying and selling at 86.00 and 86.20, they added. The rupee lost sharply in terms of euro, shedding Rs 1.89 for buying and selling at Rs 122.87 and Rs 123.37, they said.

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Open Buying     Rs 86.00

Open Selling    Rs.86.20

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

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Buying          Rs.86.57

Selling         Rs.86.62

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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    12.00      13.00       12.25       13.20       12.61

1-Week       12.80      13.00       13.00       13.10       12.98

2-Week       12.90      13.05       13.10       13.15       13.05

1-Month      12.90      13.05       13.10       13.15       13.05

2-Months     12.90      13.10       13.15       13.20       13.09

3-Months     12.95      13.15       13.15       13.25       13.13

4-Months     13.00      13.15       13.20       13.25       13.15

5-Months     13.00      13.20       13.20       13.30       13.18

6-Months     13.00      13.20       13.20       13.30       13.18

9-Months     13.10      13.25       13.25       13.35       13.24

1-Year       13.15      13.30       13.30       13.40       13.29

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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    12.00      13.00       12.25       13.25       12.63

1-Week       12.85      13.10       13.00       13.15       13.03

2-Week       12.90      13.15       13.15       13.20       13.10

1-Month      13.00      13.20       13.20       13.25       13.16

2-Months     13.00      13.25       13.20       13.30       13.19

3-Months     13.05      13.25       13.20       13.30       13.20

4-Months     13.10      13.30       13.25       13.35       13.25

5-Months     13.10      13.30       13.30       13.35       13.26

6-Months     13.15      13.35       13.30       13.40       13.30

9-Months     13.15      13.35       13.35       13.40       13.31

1-Year       13.15      13.40       13.40       13.50       13.36

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RUPEE IN LAHORE: The rupee showed stability and remained unchanged on buying side while it lost 10-paisa on selling side in relation to the greenback in the open market on Saturday.
According to the currency dealers, the dollar resumed trading on Friday's closing of Rs 86.00 and Rs 86.20, as its buying and selling rates, respectively. The dollar witnessed no change in its buying rate, which remained intact at Rs 86.00, while following fresh demand, its selling rate moved up to Rs 86.30.
Similarly, the rupee remained under pressure and was declined against the pound sterling. The pound's buying and selling rates were improved from previous closing of Rs 140.30 and Rs 141.00 to Rs 140.70 and Rs 141.50, respectively, the dealers said.
RUPEE IN ISLAMABAD AND RAWALPINDI: The rupee-dollar parity remained unchanged at the open currency markets of Islamabad and Rawalpindi here on Saturday.
The dollar resumed trading at Rs 86.00 (buying) and Rs 86.35 (selling) against the last rate. It did not observe further change in the second session and closed at Rs 86.00 (buying) and Rs 86.35 (selling).
Pound Sterling opened at Rs 138.35 (buying) and Rs 138.50 (selling) against the overnight value. It did not observe further change in the evening session and closed at Rs 138.35 (buying) and Rs 138.50 (selling).
Copyright Business Recorder, 2011