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Two-way trade was observed on the currency market last week, dealers said. In the interbank market, the rupee lost 4 paisa in relation to dollar for buying and selling at Rs 60.20 and Rs 60.22, respectively.
The rupee, however, recovered 12 paisa versus the greenback in the open market for buying and selling at Rs 60.38 and Rs 60.42, respectively.
The rupee picked up 5 paisa in relation to euro for buying and selling at Rs 76.20 and Rs 76.30, respectively, dealers said.
Currency market experts said that strong demand for dollars forced the rupee to give up some gains before the end of the fiscal year 2006-07. They said that the rising demand for dollars for genuine payments at the end of the fiscal year pushed the rupee into the minus column. It was likely that the rupee might be able to recover ground versus dollar after clearance of all import bills, they added.
According to the State Bank of Pakistan (SBP), during the month of May, the country received record inflow of remittances of 506.57 million dollars from the US, Saudi Arabia, UK and the UAE.
WORLD VALUE OF DOLLAR: The dollar drifted lower versus major currencies after rebound in the international stock markets and commodity prices.
The dollar moved both ways versus leading currencies last week. At the closing sessions, the US currency managed to gain modestly after the better-than-expected economic data.
INTERBANK MARKET RATES: On Monday, the rupee gained one paia in terms of dollar for buying and selling at 60.16 and 60.18, respectively.
On Tuesday, the rupee managed to recover 2 paisa versus dollar for buying and selling at 60.14 and 60.16, respectively.
On Wednesday, the rupee retained its overnight levels for buying and selling at 60.14 and 60.16, respectively.
On Thursday, the rupee shed four paisa vs dollar for buying and selling at 60.18 and 60.20, respectively.
On Friday, the rupee gained two paisa versus dollar for buying and selling at 60.20 and 60.22. At the weekend, the rupee did not show any change in the overnight levels versus dollar.
OPEN MARKET RATES: On June 12, the rupee gained two paisa in kerb in relation to dollar for buying and selling at 60.50 and 60.55, dealers said.
The rupee extended its overnight fall versus euro for buying and selling at Rs 76.15 and Rs 76.25.
On June 13, the rupee picked up 2 paisa against dollar for buying and selling at 60.48 and 60.53, dealers said.
The rupee rose by 30 paisa in relation to euro for buying at Rs 75.85 and picking up 35 paisa for selling at Rs 75.90, they added.
On June 14, the rupee gained 6 paisa versus dollar for buying and selling at 60.42 and 60.47, dealers said.
The rupee, however, lost 10 paisa for buying at Rs 75.95 and 15 paisa for selling at Rs 76.05 versus euro.
On June 15, the rupee gained 2 paisa in relation to dollar for buying and selling at 60.40 and 60.45, dealers said. The rupee lost 10 paisa versus euro for buying and selling at 76.05 and 76.15, respectively.
On June 16, the rupee gained two paisa versus dollar for buying at 60.38 and 3 paisa for selling at 60.42, dealers said. The rupee shed 20 paisa versus euro for buying and selling at Rs 76.25 and Rs 76.35, respectively. On June 17, the rupee rose by 5 paisa versus euro for buying and selling at Rs 76.20 and Rs 76.30.

Copyright Business Recorder, 2006

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