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Rates suffered fall in the currency market on Monday as the rupee gave up it's weekend firmness against the dollar, dealers said.
Short supply of dollars was the leading factor behind the rupee's vulnerability as importers were purchasing the greenback to meet their near-term requirements, currency analysts said.
They said that persisting demand for dollars caused slight erosion in the value of the rupee and may push it down further in the coming days. The government is importing heavy machineries to increase exports but so far it appeared that exports are moving up with gradual rise due to tough competition in the overseas markets. Best quality of export products will definitely help in grabbing the world market and this will assist the foreign exchange reserve to stand firm.
In the world markets, after some encouraging US economic data, increased the hopes among the investors that the Federal Reserve will not cut interest rates in the near future, they said.
OPEN MARKET RATES: In sympathy with the interbank market trend, the rupee drifted lower against the dollar, losing four paisa for buying at 60.92 and shedding two paisa for selling at 61.00, they said.
The rupee, however, recovered 39 paisa against the euro for buying and selling at Rs 78.29 and Rs 78.39.



================================
Buying Rs 60.92
Selling Rs 61.00
================================

INTERBANK CLOSING RATES: Interbank closing rates for dollar on Monday.



==============================
Buying Rs 60.98
Selling Rs 61.00
==============================
=================================================================
Repo Rates (Yield p a)
-----------------------------------------------------------------
Tenor Low Bid High Bid Low Offer High Offer Average
=================================================================
Overnight 8.00 8.75 8.25 8.90 9.48
1-Week 8.40 8.65 8.60 8.75 8.60
2-Weeks 8.50 8.70 8.65 8.80 8.66
1-Month 8.50 8.75 8.65 8.80 8.68
2-Months 8.60 8.75 8.70 8.90 8.74
3-Months 8.60 8.90 8.70 9.00 8.80
4-Months 8.70 9.00 8.80 9.10 8.90
5-Months 8.75 9.00 8.85 9.15 8.94
6-Months 8.80 9.00 8.90 9.20 8.98
9-Months 8.85 9.10 9.00 9.25 9.05
1-Year 8.90 9.10 9.10 9.35 9.11
=================================================================
Call Rates (Yield p a)
-----------------------------------------------------------------
Tenor Low Bid High Bid Low Offer High Offer Average
=================================================================
Overnight 8.50 8.75 8.60 9.00 10.05
1-Week 9.00 9.50 9.25 9.75 9.75
2-Weeks 9.25 9.75 9.50 10.00 10.01
1-Month 9.50 10.25 9.75 10.50 10.38
2-Months 9.50 10.25 9.75 10.75 10.62
3-Months 10.00 10.75 10.25 10.90 10.77
4-Months 10.00 10.75 10.25 11.00 10.98
5-Months 10.00 10.75 10.50 11.00 11.19
6-Months 10.25 11.00 10.75 11.25 11.43
9-Months 10.40 11.00 11.00 11.50 10.98
1-Year 10.50 11.25 11.00 11.50 11.06
=================================================================

RUPEE IN LAHORE: The rupee on Monday gained 3 paisa in relation to dollar on Lahore currency market.
According to dealers, the dollar resumed trading unchanged at Rs 60.82 and Rs 60.92 for buying and selling, respectively. Due to lack of buying support it could not sustain and started declining.
At the end of trading, the dollar closed at Rs 60.80 and Rs 60.90 for buying and selling, respectively, dealers added.
However, the rupee lost 30 paisa against pound sterling for buying from Rs 118.60 to Rs 118.90 and 40 paisa for selling from Rs 118.90 to Rs 119.30, dealers said.
RUPEE IN ISLAMABAD AND RAWALPINDI: The dollar was up by 10 paisa against rupee at the currency markets of Islamabad and Rawalpindi on Monday.
The dollar opened at Rs 60.90 (for buying) and Rs 61 (for selling) against last week's rate of Rs 60.80 (buying) and Rs 60.90 (selling). It did not observe any further change in the last trading hours and closed at Rs 60.90 (buying) and Rs 61 (selling).
Pound sterling opened at Rs 119 (buying) and Rs 119.20 (selling) against same last week's rate. It did not witness any change in the second session and closed at Rs 119 (buying) and Rs 119.20 (selling).
Copyright Business Recorder, 2007

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