The rupee performed on both sides against dollar on the currency market on Saturday, dealers said. The rupee continued weakness in relation to dollar, losing 16 paisa for buying at 87.40 and fell by 18 paisa for selling at 87.45, they said.
Higher-yielding, growth-sensitive currencies such as the Canadian and Australian dollars should fare better, especially after data showed US hiring rose more than expected last month, easing some concern about the world's biggest economy.
If the view that the United States can avoid recession takes hold, investors may renew borrowing US dollars at near-zero interest rates to fund riskier but more lucrative trades in other currencies and assets, traders said.
That's a practice that fell out of favour in August and September as markets fretted over slower US growth and a worsening euro zone sovereign debt and banking crisis.
========================
Open Buying Rs 88.30
Open Selling Rs 88.80
========================
========================
Buying Rs 87.40
Selling Rs.87.45
========================
According to the currency dealers, the dollar was opened on a positive sign and registered visible gain. At the end of trading, the dollar was closed at Rs 88.80 and Rs 89.10 as its buying and selling rates against the Friday closing of Rs 88.60 and Rs 89.00, respectively.
Similarly, the rupee remained under pressure and was further declined against the pound sterling. The pound was purchased and sold at Rs 138.30 and Rs 139.00 as compared to overnight closing of Rs 137.50 and Rs 138.50 respectively, the dealers added.
The dollar opened at Rs 88.50 (buying) and Rs 88.60 (selling) against same last rate. It did not observe further change in the second session and closed at Rs 88.50 (buying) and Rs 88.60 (selling).
Pound Sterling opened at Rs 137.80 (buying) and Rs 137.90 (selling) against same overnight value. It did not observe further change in the evening session and closed at Rs 137.80 (buying) and Rs 137.90 (selling).