KKI weekly market review

Khanani & Kalia International (Pvt) Limited Weekly Market Review on Sunday (August 22, 2010).
RUPEE/US DOLLAR: The national currency showed a mix trend against dollar in the open market this week. However, rupee gained 0/05 paisas versus dollar at close of markets. The American currency commenced new week's trading at Rs 62/65, shed mere grounds due to decline in its demand and was changing hands at Rs 62/60 at close of markets on Saturday. Thus, rupee ended the currency week on positive note against the US currency. In the international market, the dollar rose against the euro for the first time in four days as a drop in U.S. stocks prompted investors to take refuge in Treasuries. The currency also strengthened as traders reduced bets that the Federal Reserve will cut its target interest rate by a half-percentage point next week after its emergency reduction on January 22. The yen appreciated against all of the other major currencies on speculation investors will sell high-yielding assets and pay back low-cost loans from Japan.
RUPEE/EUROThe single currency posted significant gains versus rupee in the open market. The 13-nation currency commenced new week's trading at Rs 90/00 on Monday, maintained positive tone and was trading at Rs 91/70 at close of markets on Saturday. Thus, rupee incurred a loss of Rs 1/70 versus euro at close of markets on Saturday.
RUPEE/POUND STERLINGPound Sterling continued to remain in the positive territory versus rupee in the kerb this week. Pound Sterling kicked off new week's trading at Rs 121/30, continued to post gains on the desk and changed hands at Rs 123/75 at close of markets.