Rupee hit record low

The rupee hit record low against the dollar on the money market during the week, ended on Jan 07, 2018. The rupee lost Rs 1.40 against the dollar for buying and selling at Rs 112.00 and Rs 112.30. The rupee also Rs 1.50 against the euro for buying and selling at Rs 133.00 and Rs 135.00.
OPEN MARKET RATES: INTER-BANK MARKET RATES: The rupee almost sustained the present levels in relation to the dollar for buying and selling at Rs 110.53 and Rs 110.54. Explaining the surge in dollars' demand, money experts were of the opinion that the State Bank's decision to cut the import requirement of cash dollars to 35 percent against the export of foreign currencies, creating fears about shortage of the greenback in the open market. At the closing sessions of the week, the rupee crossed the barrier of Rs 112.00, money experts said.
It seems that the rupee may decline versus the dollar in the coming days, they said.
OPEN MARKET RATES: On Monday, the rupee shed 10 paisas in relation to the dollar for buying and selling at Rs 110.60 and Rs 110.90, they said.
The rupee also lost 65 paisas in terms of the euro for buying and selling at Rs 131.40 and Rs 133.40, they added.
On Tuesday, the rupee dipped by 40 paisas in terms of the dollar for buying and selling at Rs 111.00 and Rs 111.30, they said. The rupee also fell by 90 paisas versus the euro for buying and selling at Rs 132.50 and Rs 134.50, they added. On Wednesday, the rupee lost 20 paisas in terms of the dollar for buying and selling at Rs 111.20 and Rs 111.50, they said. The rupee, however, gained 30 paisas versus the euro for buying and selling at Rs 132.20 and Rs 134.20, they added.
On Thursday, the rupee gained 10 paisas in relation to the dollar for buying and selling at Rs 111.10 and Rs 111.40, they said. On Friday, the rupee lost 20 paisas in terms of the dollar for buying and selling at Rs 111.20 and Rs 111.60, they said. The rupee followed the same pattern against the euro, shedding 35 paisas for buying and selling at Rs 132.75 and Rs 134.75, they added.
On Saturday, the rupee lost 70 paisas in terms of the dollar for buying and selling at Rs 112.00 and Rs 112.30. The rupee also fell by 25 paisas against the euro for buying and selling at Rs 133.00 and Rs 135.00.
INTER-BANK MARKET RATES: On Jan 1st, the inter-bank market rates not issued due to bank closing, they said. On Jan 2nd, the rupee also shed eight paisas in relation to the dollar for buying and selling at Rs 110.51 and Rs 110.52, they said.
On Jan 3, the rupee almost held the present levels in relation to the dollar for buying and selling at Rs 110.51 and Rs 110.52, they said. On Jan 5, the rupee almost sustained the overnight levels in relation to the dollar for buying and selling at Rs 110.53 and Rs 110.54, they said.
OVERSEAS MARKET OUTLOOK: In first Asian trade, most of the money markets were closed on account of New Year. Inter bank buy/sell rates for the taka against the dollar on Monday. 82.70-82.70 (Previous 82.70-82.70).
In second Asian trade, the dollar languished near a three-month low versus a basket of major currencies on Tuesday as markets reopened at the start of 2018, while Asian currencies such as the Chinese yuan began the year on a high note. The dollar's index against a basket of six major currencies stood at 92.162. On Friday it had slipped to as low as 92.080, the weakest level since Sept. 22.
The euro edged up 0.1 percent on the day at $1.2018, after having surged 14 percent in 2017 for its best annual performance since 2003. The euro had risen 1.1 percent in the last week of 2017, bringing it back within sight of a 2-1/2 year peak of $1.2092 set in September.
In addition to political factors such as the Italian election in March, a key factor for the euro in 2018 is how the European Central Bank proceeds with curtailing its massive monetary stimulus. The dollar was trading against the Indian rupee at Rs 63.725, the greenback was at 4.030 in terms of the Malaysian ringgit and the US currency was at 6.501 in relation to the Chinese yuan.
Inter bank buy/sell rates for the taka against the dollar on Tuesday: 82.70-82.70 (Previous 82.70-82.70). In third Asian trade, the euro eased on Wednesday to take a breather from a rally prompted by optimism over the euro zone's economy and expectations the European Central Bank will wind down its bond-buying stimulus in 2018.
The euro slipped 0.1 percent to $1.2048. The currency hit a four-month high of $1.2081 on Tuesday, marking a gain of roughly 3 percent from a mid-December trough and bringing it close to a September high of $1.2092, the currency's highest level since early 2015.
The euro was also supported by expectations for a shift in ECB monetary policy this year.
The dollar was trading against the Indian rupee at Rs 63.510, the greenback was available at 4.024 and the US currency was at 6.504 versus the Chinese yuan. Inter bank buy/sell rates for the taka against the dollar on Wednesday: 82.70-82.70 (Previous 82.70-82.70).
The dollar edged up on Thursday after upbeat US data and supportive minutes from the Federal Reserve's latest policy meeting helped it shake off recent weakness. The dollar index, measuring it against a basket of six major currencies, extended the previous day's bounce to stand 0.02 percent higher at 92.183. It had declined to 91.751 on Tuesday, its lowest since Sept. 20.
The dollar bounced after Wednesday's strong US manufacturing and construction data. It gained further support as the minutes from the Fed's Dec. 12-13 meeting were more hawkish than anticipated, indicating the central bank is still poised to raise interest rates several times this year.
Fed policymakers acknowledged the US labour market's solid gains and the expansion in economic activity, even as they affirmed worries about persistently low inflation. That suggested the central bank will continue to pursue a gradual approach in raising rates but could hasten the pace if inflation accelerates.
The dollar was trading against the Indian rupee at Rs 63.510, the greenback was at 4.017 in terms of the Malaysian ringgit and the US currency was available at 6.507 in relation to the Chinese yuan.
Inter bank buy/sell rates for the taka against the dollar on Thursday: 82.72-82.75 (Previous 82.70-82.70). In final Asian trade, the euro hovered near a three-year high against the sagging dollar on Friday, while improving investor risk appetite weighed on the yen. The euro was 0.05 percent higher at $1.2074 after rising 0.45 percent overnight.
The common currency received its latest boost overnight as data showed the euro zone economy closed out 2017 with the strongest growth in nearly seven years.
The euro has been supported as US-euro zone debt yield spreads have narrowed recently with the European Central Bank poised to curtail its massive stimulus programme and eventually join the Federal Reserve in normalising monetary policy. The euro has gained 0.6 percent so far this week and a rise above $1.2092 would take it to its highest level since January 2015.
The dollar was trading against the Indian rupee at Rs 63.333, the US currency was available at 3.994 in terms of Malaysian ringgit and the greenback was at 6.481 versus the Chinese yuan.
In NY final session, the dollar gained on Friday after a brief dip as investors reckoned a weaker-than-expected US December non-farm payrolls report would not deter the Federal Reserve from raising interest rates multiple times this year. US non-farm payrolls increased by 148,000 jobs last month. Economists were forecasting job gains of 190,000. Employment data for October and November data were revised to show 9,000 fewer jobs created than previously reported. The dollar briefly slipped after the softer-than-forecast number, but has since regained momentum. Fed funds futures have priced in a more than 60 percent chance the US central bank will hike interest rates in March, according to CME's Fedwatch.