THE RUPEE: further gains

The rupee maintained an upward trend against the dollar on the money market on Saturday in the process of trading, dealers said. The rupee picked up 30 paisas versus the dollar for buying and selling at Rs 105.90 and Rs 106.10, respectively. The rupee also gained 80 paisas against the euro for buying and selling at Rs 116.70 and Rs 117.70, they added.
OPEN MARKET RATES: At the week-end, the US dollar rebounded against a basket of major currencies on Friday after data showed a pickup in US wages in January, suggesting greater inflation and denting the view that the Federal Reserve would not hike interest rates at all this year.
Average hourly earnings increased 12 cents, or 0.5 percent, last month, leaving the year-on-year gain in earnings at 2.5 percent, US Labour Department data showed. The wage data was enough to drive the dollar higher even though non-farm payrolls increased by just 151,000 jobs last month, below the 190,000 that economists in a Reuters poll had expected. The dollar had plummeted in the past two sessions on the view that weak domestic economic data and worries over the global economy could prevent the Fed from hiking rates this year. Comments perceived as dovish from New York Fed president William Dudley to MNI on Wednesday had also hurt the dollar.

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Open Bid       Rs 105.90

Open Offer     Rs.106.10

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RUPEE IN LAHORE: The Pak rupee remained strong and appreciated against the US greenback on the local currency market on Saturday.
According to the currency dealers, the dollar resumed trading on a negative note and remained under pressure due to lacking buyers' interest. At close, the dollar ended lower at Rs 105.60 and Rs 106.00 as its buying and selling rate against Rs 106.60 and Rs 106.85 of Thursday, respectively.
Similarly, the rupee also showed strength and registered gain against the pound sterling that was purchased and sold at Rs 151.50 and Rs 152.50 as compared to previous closing of Rs 153.75 and Rs 154.45, respectively, the dealers added.
RUPEE IN ISLAMABAD AND RAWALPINDI: The dollar further gained strength against the Pak rupee at the open currency markets of Islamabad and Rawalpindi here on Saturday.
The dollar opened at Rs 106 (buying) and Rs 106.20 (selling) against same last rate. It did not observe further change in the second session and closed at Rs 106 (buying) and Rs 106.20 (selling). Pound sterling opened at Rs 158 (buying) and Rs 158.50 (selling) against same overnight value. It did not observe further change in the evening session and closed at Rs 158 (buying) and Rs 158.50 (selling).
Copyright Business Recorder, 2016