The rupee moved both ways against the dollar on the local money market during the week, ended on January 31, 2016. In the interbank market, the rupee almost held its present levels against the dollar for buying and selling at Rs 104.90 and 104.92.
In the open market, the rupee, however, was down by 10 paisas against the dollar for buying at Rs 106.40 and it also shed five paisas for selling at Rs 106.65. The rupee also dropped by 20 paisas in terms of the euro for buying and selling at Rs 115.80 and Rs 116.80.
The demand for dollars persisted on the money market, despite this, the rupee managed to hold its present levels in relation to the dollar in both the interbank and open market.
Explaining the rise in dollar's value, some money experts said that reports saying that the rupee is available at Rs 107 versus the dollar due to strong demand of the US currency.
The rupee is likely to be ranged-bound if the dollars' supply improves in the coming days, they added.
OPEN MARKET RATES: On Monday, the rupee extended overnight fall, losing more 10 paisas in relation to the dollar for buying and selling at Rs 106.30 and at Rs 106.60. The rupee also dropped by 10 paisas in terms of the euro for buying and selling at Rs 115.60 and Rs 116.60.
On Tuesday, the rupee shed 10 paisas in relation to the dollar for buying and selling at Rs 106.20 and at Rs 106.50. The rupee also dropped by 25 paisas in terms of the euro for buying and selling at Rs 115.50 and Rs 116.50. On Wednesday, the rupee recovered 10 paisas in terms of the dollar for buying and selling at Rs 106.20 and at Rs 106.50. The rupee also dropped by 60 paisas in terms of the euro for buying and selling at Rs 115.00 and Rs 116.00.
On Thursday, the rupee held last levels in terms of the dollar for buying and selling at Rs 106.20 and at Rs 106.50. The rupee fell sharply in terms of the euro, losing Rs 1.60 for buying and selling at Rs 116.40 and Rs 117.40. On Friday, the rupee fell by 20 paisas in terms of the dollar for buying at Rs 106.40 and the national currency dropped by 15 paisas for selling at Rs 106.65. The rupee, however, gained 10 paisas in relation to the euro for buying and selling at Rs 116.30 and Rs 117.30.
On Saturday, the rupee did not move any side in terms of the dollar for buying at Rs 106.40 and the national currency dropped by 15 paisas for selling at Rs 106.65. The rupee, however, picked up 50 paisas against the euro for buying and selling at Rs 115.80 and Rs 116.80.
INTER-BANK MARKET RATES: The whole week, despite surge in demand, the rupee somehow, managed to keep it's levels against the dollar for buying and selling at Rs 104.94 and Rs 104.95, they said.
OVERSEAS OUTLOOK FOR DOLLAR: In the first Asian trade, the dollar edged down on but remained well off recent lows as markets started the week on a calmer note and investors turned their attention to upcoming central bank meetings.
The dollar inched down slightly against its Japanese counterpart to 118.75, but remained not far from a two-week high of 118.88 touched on Friday, just a day after it dropped to a one-year low of 115.97.
The US Federal Reserve is widely expected to leave its federal funds rate unchanged at 0.25-0.50 percent at the conclusion of its policy meeting on Wednesday.
The dollar was available against the Indian rupee at Rs 67.64, the greenback was at 4.2995 in terms of the Malaysian ringgit and the US currency was at 6.5795 in relation to the Chinese yuan.
Inter bank buy/sell rates for the taka against the dollar on Monday: 78.50-78.50 (previous 78.50-78.50).
In the second Asian trade, the dollar held close to recent trading ranges, with investors cautiously awaiting the outcome of the Federal Reserve's two-day policy meeting amid the backdrop of stressed financial markets and slackening global growth. US interest rates futures implied traders placed a mere 13 percent chance the Fed will hike rates this week.
The euro was steady at $1.0851, above last week's two-week low of $1.0776 but still undermined by growing expectations that the European Central Bank is gearing up to take more easing steps of its own.
The dollar was trading against the Indian rupee at Rs 67.83, the greenback was at 4.2890 versus the Malaysian ringgit and the US currency was at 6.5796 in terms of the Chinese yuan. Inter bank buy/sell rates for the taka against the dollar on Tuesday: 78.50-78.50 (previous 78.50-78.50.
In the third Asian trade, the US dollar kept to the sidelines with the market waiting for an interest rate steer from the Federal Reserve, while a fleeting rebound in oil prices sparked a short-covering rally in currencies like the Canadian dollar.
Weakness in the Swiss franc caught some attention, sparking talk the Swiss National Bank could have been selling.
The euro jumped to a one-year high of 1.1059 francs, while the greenback came within a whisker of 1.0200 francs - its highest in nearly two months.
The dollar index last stood at 99.061, nursing a 0.3 percent fall on Tuesday. It eased against the euro and sterling and fell sharply versus its Canadian peer.
The greenback managed to eke out a slim gain on the yen, which softened broadly as a rally on Wall Street dampened demand for the safe-haven Japanese currency.
The dollar was trading against the Indian rupee at Rs 67.97, the greenback was at 4.2520 in terms of the Malaysian ringgit and the US currency was at 6.5802 versus the Chinese yuan.
Inter bank buy/sell rates for the taka against the dollar on Wednesday: 78.50-78.50 (previous 78.50-78.50).
The US dollar turned mixed after the Federal Reserve offered little in the way of surprises, in contrast to New Zealand's central bank, which flung open the doors to a cut in rates and clipped the kiwi in the process.
The dollar index stood at 98.940, after easing 0.4 percent on Wednesday. A firmer euro, which reached a one-week high of $1.0918, was the main drag on the index. The greenback managed to gain on the yen, rising as far as 119.08. It has since stepped back to 118.66 yen.
The dollar was available against the Indian rupee at Rs 68.07, the US currency was available at 4.2140 in relation to the Malaysian ringgit, the greenback was at 6.5780 versus the Chinese yuan.
Inter bank buy/sell rates for the taka against the dollar on Thursday: 78.50-78.52 (previous 78.50-78.50).
In the forth Asian trade, The US dollar turned mixed after the Federal Reserve offered little in the way of surprises, in contrast to New Zealand's central bank, which flung open the doors to a cut in rates and clipped the kiwi in the process.
The dollar index stood at 98.940, after easing 0.4 percent on Wednesday. A firmer euro, which reached a one-week high of $1.0918, was the main drag on the index. The greenback managed to gain on the yen, rising as far as 119.08. It has since stepped back to 118.66 yen.
The dollar was available against the Indian rupee at Rs 68.07, the US currency was available at 4.2140 in relation to the Malaysian ringgit, the greenback was at 6.5780 versus the Chinese yuan.
Inter bank buy/sell rates for the taka against the dollar on Thursday: 78.50-78.52 (previous 78.50-78.50).
In the final Asian trade, the yen stayed on the defensive as the market waited to see if the Bank of Japan would ease policy, while the dollar languished at two-week lows in the face of disappointing US economic data.
New orders for long-lasting US manufactured goods in December recorded their biggest drop in 16 months as lower oil prices and a strong dollar pressured factories.
The report was the latest indication that economic growth braked sharply at the end of 2015, a trend that could put the Federal Reserve's tightening cycle on ice. The dollar was trading against the Indian rupee at Rs 67.88, the greenback was at 4.1200 in terms of the Malaysian ringgit and the US currency was at 6.5760 versus the Chinese yuan.
At the weekend, the dollar rose sharply, hitting a six-week high versus the yen, after the Bank of Japan took one of its main interest rates into negative territory and US gross domestic product data largely matched economists' expectations.
The BoJ said it would apply a negative interest rate of minus 0.1 percent on selected current account deposits that financial institutions hold with it, effectively charging banks interest for holding excess deposits at the central bank.
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