The rupee breached an important 106 mark against the dollar on the money market during the week, ended on November 7, 2015. In the interbank market, the rupee dropped by three paisas in relation to the dollar for buying and selling at Rs 105.50 and Rs 105.52.
In the open market, the rupee shed 35 paisas in terms of dollar for buying at Rs 105.80 it lost 51 paisas for selling at Rs 106.00. The rupee, however, gained Rs 1.50 versus the euro for buying and selling at Rs 114.00 and Rs 115.00.
During the last week, the rupee, somehow, managed to retain it's levels versus the dollar, experts said adding that at the closing session, the rupee failed to sustain it's level due to strong buying of dollars.
Some other analysts said that the dollar's surge may prove short-lived and the rupee may come back at the last level.
They said that imports are surging with the passage of time, as the country is depending on imported items so much, this factor is pushing up the payment bills.
Exports are coming down because of high cost of production, making exporters not able to compete with the global market, they said.
INTER-BANK MARKET RATES: On Monday, the rupee shed three paisas in relation to the dollar for buying and selling at Rs 105.45 and Rs 105.49. On Tuesday, the rupee shed four paisas versus the dollar for buying at Rs 105.49 and it also dropped by two paisas for selling at Rs 105.51. On Wednesday, the rupee almost held the overnight levels against the dollar for buying and selling at Rs 105.50 and Rs 105.51.
On Thursday, the rupee inched up by one paisa against the dollar for buying and selling at Rs 105.49 and Rs 105.50. On Friday, the rupee shed one paisa against the dollar for buying at Rs 105.50 and it also fell by two paisas for selling at Rs 105.52.
OPEN MARKET RATES: On November 2, the rupee did not show any variation against the dollar for buying and selling at Rs 105.50 and Rs 105.70, they said.
The rupee gained 10 paisas versus the euro for buying and selling at Rs 115.50 and Rs 116.50. On November 3, the rupee held the overnight levels against the dollar for buying and selling at Rs 105.50 and Rs 105.70, they said.
The rupee gained 20 paisas versus the euro for buying and selling at Rs 115.30 and Rs 116.30, they added.
On November 4, the rupee followed same print, showing no variation in terms of the dollar for buying and selling at Rs 105.50 and Rs 105.70. The rupee picked up just five paisas versus the euro for buying and selling at Rs 115.25 and Rs 116.25.
On November 5, the rupee however, drifted lower in terms of the dollar, losing 10 paisas for buying and selling at Rs 105.60 and Rs 105.80. The rupee gained 45 paisas versus the euro for buying and selling at Rs 114.80 and Rs 115.80.
On November 6, the rupee slid by five paisas in terms of the dollar for buying and selling at Rs 105.65 and Rs 105.85. While, the rupee did not move any side versus the euro for buying and selling at Rs 114.80 and Rs 115.80.
On November 7, the rupee extended overnight fall, losing 15 paisas in terms of the dollar for buying and selling at Rs 105.80 and Rs 106.00. The rupee, however, gained 80 paisas versus the euro for buying and selling at Rs 114.00 and Rs 115.00.
OVERSEAS OUTLOOK FOR DOLLARS: In the first Asian trade, the US dollar edged down, as investors' appetite for risk evaporated against a background of downbeat Chinese factory surveys.
The Australian dollar, a proxy for China plays because of that country's massive trade exposure to China, touched its session high of $0.7148 immediately after the release of the Caixin-Markit China Manufacturing Purchasing Managers' Index (PMI).
The index edged up to 48.3 in October from 47.2 in September and showed that export orders marked their first rise since June. The dollar was trading against the Indian rupee at Rs 65.51, the greenback was at 4.2900 versus the Malaysian ringgit and the US currency was at 6.336 in terms of the Chinese yuan. Inter bank buy/sell rates for the taka against the dollar on Monday: 78.07-78.10 (previous 78.05-78.05).
In the second Asian trade, the dollar, euro and yen treaded water, as the market was quiet with Tokyo on holiday and traders awaiting direction after the latest readings on global manufacturing activity failed to show clear economic trends.
In Asia, the Australian dollar was the biggest mover in an otherwise sedate session, rising after the Reserve Bank of Australia (RBA) left interest rates unchanged.
The dollar was trading against the Indian rupee at Rs 65.45, the greenback was at 4.2820 in terms of the Malaysian rinttig and the US currency was at 6.336 in relation to the Chinese yuan. Inter bank buy/sell rates for the taka against the dollar on Tuesday: 78.14-78.15 (previous 78.07-78.10).
In the third Asian trade, the dollar held on to modest gains on Wednesday having firmed against the euro and yen on rising Treasury yields, but it was the contrasting fortunes of the Antipodean currencies that stole the show.
A further decline in dairy prices and soft jobs data all but sealed the kiwi's fate as the worst major performer, while a slightly more upbeat outlook on the economy by Australia's central bank put a spring in the Aussie's step.
The dollar was trading against the Indian rupee at Rs 65.57, the greenback was at 4.2650 in terms of the Malaysian ringgit and the US currency was at 6.334 versus the Chinese yuan.
Inter bank buy/sell rates for the taka against the dollar on Wednesday. 78.14-78.18 (previous 78.14-78.15)
In the fourth Asian trade, the dollar stood at three-month highs against a basket of major currencies following a jump in US Treasury yields as Federal Reserve officials hammered home the message that a December "lift-off" in US rates is a distinct possibility.
The dollar was trading against the Indian rupee at Rs 65.64, the US currency was available at 4.2970 in terms of the Malaysian ringgit and the greenback was at 6.3446 in relation to the Chinese yuan. Inter bank buy/sell rates for the taka against the dollar on Thursday: 78.19-78.20 (previous 78.14-78.18).
In the final session, the dollar held firm on Friday with investors on tenterhooks to see whether upcoming US job data will be strong enough to cement rising expectations of a Federal Reserve interest rate hike next month.
The dollar index on Thursday rose to a three-month high of 98.135, edging near its August peak of 98.334. It last stood at 97.963.
The dollar was trading against the Indian rupee at Rs 65.78, the greenback was at 4.2990 in terms of the Malaysian ringgit and the US currency was at 6.350 in relation to the Chinese yuan.
At the weekend, the dollar jumped against major world currencies after data showed the US economy created far more jobs than expected in October, bolstering the case for an interest rate increase from the Federal Reserve next month.
Non-farm payrolls increased 271,000 last month, the largest rise since December. Market economists polled by Reuters had predicted 180,000 new jobs for October.
The data sent the dollar higher across the board. The greenback hit highs of 2-1/2-months versus the yen, seven months against the Swiss franc and 6-1/2 months against the euro.
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