The rupee managed to gain slightly against the dollar in the currency market, the week ended on April 07, 2007, dealers said. In the interbank market, the rupee lost five paisa against the dollar for buying and selling at Rs 60.75 and Rs 60.77, they said.
The rupee drifted lower in terms of the US currency, losing 10 paisa for buying and selling at Rs 60.70 and Rs 60.80. Versus the euro, the rupee did not move sharply, inching up with two paisa rise for buying and selling at Rs 80.78 and Rs 80.88, respectively.
The rupee was down on the rising demand for dollars as different banks purchased dollars to meet the payment requirements. At the end of the week, the rupee tumbled with loss as there was dearth of dollars slightly due to global markets closure on account of Easter and the Good Friday.
They market players expect that the rupee may come under pressure if demand persisted for dollars But the rupee will recover its losses due to possible easy supply of dollars, they added.
INTER-BANK RATES: On April 2, the rupee gained two paisa against dollar for buying at Rs 60.68 and also picked up three paisa for selling at Rs 60.70.
On April 3, the rupee faced slight set back in terms of the dollar, losing two paisa at Rs 60.70 for buying and shedding one paisa for selling at Rs 60.71.
On April 4, the rupee extended its slide against the dollar, losing four paisa at Rs 60.74 and Rs 60.75 for buying and selling, respectively.
On April 5, the rupee maintained its overnight levels against the dollar for buying and selling at RS 60.74 and Rs 60.75, respectively.
On April 6, the rupee held its firmness against the dollar for the third day in a row for buying and selling at 60.74 and 60.75, respectively.
On April 7, the rupee shed one paisa at Rs 60.75 and it also shed two paisa for selling at Rs 60.77 in process of trading.
INTERNATIONAL SCENARIO: In the beginning session of the week, the dollar was down against the yen as investors awaited the US factory data, which is due shortly, looking for any signs of weakness that could further stoke expectations for Federal Reserve interest rate cuts.
On Tuesday, the dollar held steady against the euro and yen on Tuesday after mixed US manufacturing data the previous session did little to sway expectations for the Federal Reserve to start cutting interest rates later in the year.
The Institute for Supply Management's factory survey showed growth slowing to a near standstill in March but a surge in the prices company pay, highlighting the Fed's worry about inflation staying stubbornly high.
On Wednesday, the dollar posted fresh gains in the Asian markets as the yen fell to a five-week low, pressured by signs of overseas investment by Japanese institutions at the start of a new fiscal year, and a pick-up in risk appetite.
The dollar rose to 119.02 yen on electronic trading platform EBS, hitting its highest level since late February.
On Thursday, in the Asian trading, the dollar steadied against major currencies after falling on weak economic data as investors shifted their focus to the monthly US payrolls report on Friday.
The dollar neared a two-year low against the euro after the Institute for Supply Management's non-manufacturing index fell to a four-year low in March, reinforcing expectations that interest rates could be cut.
In the middle of the week, the dollar steadied against major currencies after falling on weak economic data as investors shifted their focus to the monthly US payrolls report on Friday.
The dollar neared a two-year low against the euro after the Institute for Supply Management's non-manufacturing index fell to a four-year low in March, reinforcing expectations that interest rates could be cut.
In the world markets, the dollar slid to a two-year low against the euro on Thursday as trade wound down ahead of a closely watched US jobs report at the end of the week that may shed more light on the outlook for US interest rates.
A weak non-farm payrolls report would likely reinforce expectations the Federal Reserve may cut interest rates by as early as mid-year, in contrast to the euro zone and Britain, where interest rates are expected to rise in coming months.
At the weekend, the dollar was higher in the international markets, they said.
OPEN MARKET RATES: On Monday, the rupee retained its weekend levels against the dollar for buying and selling at Rs 60.60 and Rs 60.70 in process of trading.
The rupee, however, lost 20 paisa versus the euro for buying and selling at Rs 80.81 and Rs 80.90, they said.
On Tuesday, the rupee maintained its overnight levels against the dollar for the third day in a row at Rs 60.60 and Rs 60.70 for buying and selling, respectively. While, the rupee, gained 10 paisa against the euro for buying and selling at Rs 80.70 and Rs 80.90.
On Wednesday, the rupee held its overnight levels against the dollar at Rs 60.60 and Rs 60.70 for buying and selling, respectively.
While, the rupee, lost 11 paisa against the euro for buying and selling at Rs 80.59 and Rs 80.69, they said. On Thursday, the rupee gave up its firmness against the dollar in the open market , shedding five paisa for buying and selling at Rs 60.65 and Rs 60.75, respectively.
While, the rupee continued its weakness, losing more 13 paisa against the euro for buying and selling at Rs 80.72 and Rs 80.82, they said.
On Friday, the rupee extended its overnight fall versus the dollar, losing seven paisa for buying and selling at Rs 60.72 and Rs 60.82, respectively.
The rupee also continued its slide against the euro, slipping 35 paisa for buying and selling at Rs 81.07 and Rs 81.17, they said.
On Saturday, the rupee was down by five paisa against dollar for buying and selling at Rs 60.70 and Rs 60.80. . The rupee also shed 31 paisa in relation to the euro for buying and selling at Rs 80.78 and Rs 80.88, they said.
Comments
Comments are closed.