The rupee was firm against the dollar on the money market during the week, ended on Dec 29, 2018. The rupee was almost unchanged in terms of the dollar for buying and selling at Rs 138.70 and Rs 139.20. The rupee shed 25 paisas versus the euro for buying and selling at Rs 157.50 and Rs 159.30.
OPEN MARKET RATES: INTER-BANK MARKET: The rupee was almost inert in relation to the dollar for buying and selling at Rs 138.92 and Rs 138.94. Commenting on the rupee's performance versus the dollar, marketmen said that balanced demand and supply of dollar, helped the rupee maintain present levels in terms of the dollar.
They said that the rupee not sustain present levels if demand rises for dollars in the coming days. Trading activity slowed down in the currency market due to rising uncertainties over the mini-budget next month, they said.
A sharp decline of 32 percent in the value of the rupee versus the dollar during the year is also a dominating factor behind the decline in the business activity, marketmen said.
OPEN MARKET RATES: On Monday, the rupee gained 80 paisas in terms of the dollar for buying at Rs 138.70 and the local currency rose by 60 paisas for selling at Rs 139.20. The rupee also gained 25 paisas against the euro for buying and selling at Rs 157.25 and Rs 159.25. On Wednesday, the rupee was available against the dollar for buying and selling at Rs 138.70 and Rs 139.20. On Thursday, the rupee fell slightly in terms of the dollar for buying and selling at Rs 138.80 and Rs 139.30.
On Friday, the rupee was unchanged in terms of the dollar for buying and selling at Rs 138.80 and Rs 139.30, they said. The rupee was available against the euro for buying and selling at Rs 158.25 and Rs 160.05. On Saturday, the rupee picked up 10 paisas in terms of the dollar for buying and selling at Rs 138.70 and Rs 139.20, they said. The rupee appreciated versus the euro for buying and selling at Rs 157.50 and Rs 159.30, they said.
INTER-BANK MARKET: On Dec 24, the rupee picked up 2 paisas in relation to the dollar for buying and selling at Rs 138.92 and Rs 138.93. On Dec 25, the banks were closed due to local holiday. On Dec 26, the rupee did not move sharply versus the dollar for buying and selling at Rs 138.92 and Rs 138.94.
On Dec 27, the rupee was nearly unchanged against the dollar for buying and selling at Rs 138.92 and Rs 138.94. On Dec 28, the rupee was almost inert in relation to the dollar for buying and selling at Rs 138.92 and Rs 138.94.
OVERSEAS OUTLOOK FOR DOLLAR: In the first Asian trade, the Japanese yen and the Swiss franc gained on Monday, thanks to safe-haven buying as sentiment in financial markets remained fragile on heightened worries over political instability in the United States and fears of a global economic slowdown.
Trading volumes were thinning out with most global markets set to shut for Christmas, while Japan was closed on Monday for a holiday. There was hardly any appetite among investors to take on risk, with a deteriorating outlook for global growth leaving stocks hurtling down for their worst quarterly performance since 2008.
That has attracted bids for the likes of the yen and Swiss franc, considered a safe-bet during times of economic and political stress. They were up about 0.1 percent each on the dollar in Asian trade. The dollar index, a gauge of its value versus six major peers, lost 0.2 percent to 96.76.
The dollar was trading against the Indian rupee at Rs 70.238, the greenback was at 4.182 in terms of the Malaysian ringgit and the US currency was available at 6.900 versus the Chinese yuan. The dollar fell against the safe-haven yen and Swiss franc on Tuesday as investors cut their exposure to riskier assets amid the partial US government shutdown and signs of confrontation between the White House and the Federal Reserve.
The dollar fell 0.39 percent to 110.00 yen, its lowest level since late August and is set to fall for an eighth straight session against the Japanese currency, with London and New York shut for Christmas. The yen also hit a 16-month high against the British pound, trading at 139.90 yen and a four-month high against the euro, at 125.60 yen.
The Swiss franc rose 0.2 percent against the dollar to a 12-week high of 0.98355 to the dollar, extending its 0.9 percent rise on Monday, its biggest daily gain in 11 months. Gold rose to a six-month high of $1,269.30 per ounce on Monday. US stocks plunged more than 2 percent while oil prices sank more than 6 percent in a holiday-shortened Monday trade, as developments in Washington added to investors' concern about a slowdown in the global economy next year.
The dollar was down against most of its peers on Wednesday, pressured by a cocktail of negative factors including heightened concerns over a partial US government shutdown and tension between the White House and the Federal Reserve.
Fears of a US and global economic slowdown have sent US 10-year yields tumbling by around 25 basis points in December, adding to the The dollar has struggled particularly against the yen, losing ground for eight straight sessions as a broad risk-off move in financial markets benefited the safe-haven Japanese currency. It tried to steady in early Asian trade on Wednesday, edging up 0.1 percent on the yen to 110.43.
The euro and the British pound tacked on 0.2 percent each, changing hands at $1.1415 and $1.2705, respectively. The Australian dollar added 0.1 percent to fetch $0.7043. The dollar was available against the Indian rupee at Rs 69.963, the US currency was at 4.178 in relation to the Malaysian ringgit and the greenback was at 6.889 in terms of the Chinese yuan.
The dollar retained most of its overnight gains on Thursday but was off its peak for the week so far amid thin volumes, as signs of easing trade tensions and strong US economic data sent Wall Street stocks and Treasury yields higher. In a sharp bounce from bear market territory, the Dow Jones Industrial Average rocketed more than 1,000 points for the first time on Wednesday, while US 10-year yields rallied around 8 basis points to end at 2.8 percent.
The dollar index, a gauge of its value versus six major peers, slipped 0.2 percent in Asian trade, after gaining 0.5 percent on Wednesday. The dollar was trading against the Indian rupee at Rs 70.200, the greenback was at 4.175 versus the Malaysian ringgit and the US currency was at 6.892 in terms of the Chinese yuan.
In the final Asian trade, the yen and the Swiss franc rose on Friday, as investors sought shelter in safe-haven assets due to renewed US-China trade tensions and weaker-than-expected data in those two economies that revived global growth fears.
In Asian trade on Friday, the yen added 0.4 percent against the dollar, while the Swiss franc tacked on 0.3 percent as renewed growth fears pushed investors back into safe havens. The anxiety in markets has helped these currencies this month put on 2.3 percent and 1.2 percent, respectively. Currencies generally are trading in thin volumes, with year-end positioning adding to volatility.
The dollar index, a gauge of its value versus six major peers, fell by around 0.15 percent to 96.34, after losing 0.5 percent overnight. The rupee was trading against the Indian rupee at Rs 70.080, the greenback was at 4.154 in terms of the Malaysian ringgit and the US currency was available at 6.856 in relation to the Chinese yuan.
In final US trade, the Japanese yen jumped on Friday as investors sought protection against volatile stock moves, while the greenback dipped as stocks ended a dramatic week capped by large price swings. The benchmark S&P 500 tested its 20-month low early in the week and was at the brink of bear market territory before the three main indexes roared back with their biggest daily surge in nearly a decade on Wednesday and a late rally on Thursday. The yen gained despite soft domestic data and a decline in benchmark Japanese bond yields, which fell back into negative territory for the first time in more than a year.
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