KKI weekly market review

Khanani & Kalia International (Pvt) Limited Weekly Market Review on Sunday (August 24, 2008).
RUPEE/US DOLLAR: Downward trend was seen in the price of national currency versus the US dollar amid post-Musharraf political uncertainty continued to grow in the coalition partners of current government on reinstatement of deposed judges.
The US currency commenced new week's trading at Rs 74/00, continued to post gains and was changing hands at Rs 75/50 at 12:11 pm local time on Saturday. Thus, rupee incurred a loss of Rs 1/50 versus greenback in the kerb market.
In the international market the dollar rose against the euro and the yen as a South Korean bank said it's 'considering" an investment in Lehman Brothers Holdings inc., indicating U.S. financial firms may weather credit market turmoil. The U.S. currency also gained versus the euro on bets yesterday's biggest drop since June was overdone and as crude erased a 5.4 percent increase. Federal Reserve Chairman Ben S. Bernanke said falling commodity prices, a stable dollar and slowing growth should stem inflation.
RUPEE/EURO Europe's shared currency continued to rise versus rupee in the open market this week. However, Euro observed downward trend versus dollar in the international market. The single currency commenced trading at Rs 109/00, posted major gains and was trading at Rs 111/40 at 12:11pm local time on Saturday. Thus, rupee gave up Rs 2/40 versus the 15-nation currency. On the international desk, the euro dropped to a session low of $1 .4760, edging toward a six-month low hit earlier this week at $1 .4631, according to Reuters data. It was last trading at $1 .4772, down 0.9 percent.
RUPEE/YEN The Japanese currency appreciated versus rupee in the open market dealings. Yen kicked off new week's trading at 0/666 and was changing hands at 0/682 at close of markets on Saturday. Thus, rupee ended the current week on a negative note versus Japanese currency.