RECORDER REVIEW
KARACHI: The rupee managed to recover modestly against the dollar on the money market during the week, ended on 09, 2018.
In the open market, the rupee picked up 20 paisas in relation to the dollar for buying and selling at Rs 118.00 and Rs 118.50. The rupee also rose by 25 paisas in terms of the euro for buying and selling at Rs 137.75 and Rs 139.25.
In the inter-bank market, the rupee did not show any major change versus the dollar for buying and selling at Rs 115.61 and Rs 115.62.
The rupee showed slight weakness versus the dollar in the beginning sessions of the week, but, somehow, it, managed to recover due to slight improvement in supply of dollars, some analysts said.
In the meantime, the dollar is trading around Rs 120.00 in terms of the rupee, they said. The rupee may travel between Rs 118.00 and Rs 120.00 versus the dollar, they added.
OPEN MARKET RATES: On Monday, the rupee picked up 30 paisas against the dollar for buying and selling at Rs 118.20 and Rs 118.70, they said. The rupee did not show any change versus the euro for buying and selling at Rs 138.00 and Rs 139.50, they said.
On Tuesday, the rupee gained 10 paisas against the dollar for buying and selling at Rs 118.10 and Rs 118.60, they said. The rupee rose by 20 paisas versus the euro for buying and selling at Rs 137.80 and Rs 139.30. On Wednesday, the rupee picked up further 10 paisas against the dollar for buying and selling at Rs 118.00 and Rs 118.50. The rupee shed 20 paisas versus the euro for buying and selling at Rs 138.00 and Rs 139.50. On Thursday, the rupee did not show any change against the dollar for buying and selling at Rs 118.00 and Rs 118.50. The rupee dropped sharply versus the euro for buying and selling at Rs 139.25 and Rs 140.75.
On Friday, the rupee was unchanged in terms of the dollar for buying and selling at Rs 118.00 and Rs 118.50 respectively, they said. The national currency was available versus the euro for buying and selling at Rs 138.25 and Rs 139.75 respectively.
On Saturday, the rupee depicted no change against the dollar for buying and selling at Rs 118.00 and Rs 118.50. The rupee gained 50 paisas in terms of the euro for buying and selling at Rs 137.75 and Rs 139.25.
INTER-BANK MARKET RATES: June 4, the rupee was unchanged in relation to the dollar for buying and selling at Rs 115.61 and Rs 115.62. On June 5, the rupee stayed put in relation to the dollar for buying and selling at Rs 115.61 and Rs 115.62. On June 6, the rupee did not show any change in relation to the dollar for buying and selling at Rs 115.61 and Rs 115.62, they said. On June 7, the rupee was unchanged in relation to the dollar for buying and selling at Rs 115.61 and Rs 115.62. On June 9, the rupee was firm against the dollar for buying and selling Rs 115.61 and Rs 115.62.
OVERSEAS OUTLOOK FOR DOLLAR: In the first Asian trade, the dollar gained against the yen on Monday after the release of an upbeat US jobs report, although uncertainty over potential political risks kept the currency’s near-term outlook murky. The dollar added 0.15 percent to 109.660 yen following a rise of 0.6 percent on Friday.
Closely watched data out on Friday showed US jobs growth gathering pace and wages rising in May, making a rate hike by the Federal Reserve in June a near certainty and increasing expectations of a fourth hike this year.
The robust US jobs report helped offset factors that had weighed on the dollar earlier last week, such as a flare up in trade tensions between the United States and its allies.
The dollar was trading against the Indian rupee at Rs 67.050, the greenback was at 3.977 in terms of the greenback and the US currency was at 6.421 versus the Chinese yuan. Inter bank buy/sell rates for the taka against the dollar on Monday: 83.70-83.70 (Previous 83.70-83.70).
In the second Asian trade, the euro was supported by signs of stability in Italian politics and the dollar maintained an uptrend against the yen after a strong US jobs report sparked bets of three more US rate hikes by the end of year.
The common currency rose to 128.50 yen, up 3.0 percent from an 11-month low of 124.82 yen touched a week ago.
The dollar traded at 109.95 yen, up 0.1 percent and extending its recovery from a five-week low of 108.115 yen touched on Tuesday. Strong US employment data published on Friday revived bets that the Federal Reserve will raise interest rates three more times this year.
The Fed is widely expected to raise rates at its policy meeting next week, following up on a rate hike in March. The dollar was trading against the Indian rupee at Rs 67.210, the greenback was available at 3.970 and the US currency was at 6.412 in terms of the Chinese yuan. Inter bank buy/sell rates for the taka against the dollar on Tuesday: 83.70-83.70 (Previous 83.70-83.70).
In the third Asian trade, the euro held firm on Wednesday as investors started to focus on the European Central Bank’s policy meeting next week, while concerns that the United States could pull out of a trade pact with Canada and Mexico hit the peso and the Canadian dollar.
The euro traded at $1.1724, having gained about 0.5 percent so far this week and hovering about two cents above its 10-month low of $1.1510 set on May 29.
The dollar was trading against the Indian rupee at Rs 67.063, the greenback was at 3.973 in relation to the Malaysian ringgit and the US currency was at 6.395 in terms of the Chinese yuan. Inter bank buy/sell rates for the taka against the dollar on Wednesday: 83.70-83.70 (Previous 83.70-83.70).
In the fourth Asian trade, the euro stayed near two-week highs against many of its rivals on Thursday, on rising bets the European Central Bank (ECB) may soon announce it will start winding down its massive bond purchase programme.
The central bank’s chief economist Peter Praet, a close ally of President Mario Draghi, said the ECB would debate next week whether to end bond purchases later this year.
The euro strengthened against other currencies, hitting a two-week high of 1.1640 Swiss franc and 129.83 yen on Wednesday.
The dollar was trading against the Indian rupee at Rs 67.068, the greenback was at 3.973 in terms of the Malaysian ringgit and the US currency was at 6.392 in relation to the Chinese yuan. Inter bank buy/sell rates for the taka against the dollar on Thursday:83.70-83.70 (Previous 83.70-83.70).
In the final Asian market, the dollar wallowed near a three-week low against its peers on Friday as US Treasury yields fell sharply, while the euro’s recovery remained intact amid expectations the European Central Bank will begin unwinding its stimulus programme.
The dollar index versus a basket of six major currencies was little changed at 93.467 after declining 0.3 percent overnight, when it posted its fourth session of losses.
The dollar was trading against the Indian rupee at Rs 67.480, the greenback was at 3.982 in terms of the Malaysian ringgit and the US currency was at 6.404 in relation to the Chinese yuan.
In the final New York trade, the dollar rose on Friday after a four-day losing streak, while the safe-haven yen gained as investors grew cautious over what was expected to be a contentious G7 meeting in Canada on Friday.
Despite Friday’s gains, the dollar posted its largest weekly drop since late March.
