THE RUPEE: mixed trend

The rupee moved both ways against the dollar on the money market during the week, ended on 23 February, 2019. The rupee showed slight gains versus the dollar for buying and selling at Rs 138.60 and Rs 138.62.
INTER-BANK MARKET RATES: OPEN MARKET RATES: The rupee, however, shed 10 paisas in relation to the dollar for buying and selling Rs 138.30 and 138.80. The rupee was trading against the euro for buying and selling at Rs 156.20 and Rs 158.00.
Commenting on the rupee's performance during the last week, marketmen observed that the rupee managed to shed it's losses due to slight rise in supply of the US currency.
They said that the rupee did not show any sharp depreciation in it's value after emergence of tension between Pakistan and India. The rupee is likely to expand winning ground if dollars' supply improves in the coming days, they said.
INTER-BANK MARKET RATES: On Monday, the rupee picked up 20 paisas versus the dollar for buying Rs 138.70 and it also rose by 22 paisas for selling at Rs 138.75. On Tuesday, the rupee depreciated by 22 paisas versus the dollar for buying and selling at Rs 138.92 and Rs 138.95. On Wednesday, the rupee picked up four paisas versus the dollar for buying and selling at Rs 138.88 and Rs 138.90.
On Thursday, the rupee maintained rising trend in terms of the dollar, picking up 28 paisas for buying and selling at Rs 138.60 and Rs 138.65. On Friday, the rupee traded within the present levels versus the dollar for buying and selling at Rs 138.60 and Rs 138.62.
OPEN MARKET RATES: On Feb 18, the rupee gained 40 paisas in relation to the dollar for buying and selling at Rs 138.20 and Rs 138.70. The rupee, however, depreciated by 35 paisas against the euro for buying and selling at Rs 155.75 and Rs 157.55.
On Feb 19, the rupee fell by 30 paisas in relation to the dollar for buying and selling at Rs 138.50 and Rs 139.00, they said. The rupee also slipped by five paisas against the euro for buying and selling at Rs 155.80 and Rs 157.60. On Feb 20, the rupee maintained overnight levels in relation to the dollar for buying and selling at Rs 138.50 and Rs 139.00. The rupee slipped by Rs 1.70 against the euro for buying and selling at Rs 156.70 and Rs 158.50.
On Feb 21, the rupee was unchanged in relation to the dollar for buying and selling at Rs 138.50 and Rs 139.00. The rupee moved with slightly against the euro for buying and selling at Rs 156.60 and Rs 158.40.
On Feb 22, the rupee did not show major change in relation to the dollar for buying and selling at Rs 138.50 and Rs 138.90. The rupee picked up 20 paisas against the euro for buying and selling at Rs 156.40 and Rs 158.10. On Feb 23, the rupee picked up 20 paisas in relation to the dollar for buying at Rs 138.30 and it also gained 10 paisas for selling at Rs 138.80. The rupee rose by 20 paisas against the euro for buying and selling at Rs 156.20 and Rs 158.00.
OVERSEAS OUTLOOK FOR DOLLAR: In the first Asian trade, the dollar fell versus a basket of its peers on Monday as rising expectations of a US-Sino trade deal led investors to shift away from the safety of the greenback into riskier assets.
The dollar index, a gauge of its value versus six major peers, was down by 0.16 percent at 96.74. The dollar was trading against the Indian rupee at Rs 71.475, the greenback was at 4.078 in terms of the Malaysian ringgit and the US currency was at 6.756 versus the Chinese yuan. In the second Asian trade, the dollar held steady against its peers on Tuesday, lacking strong direction as US markets were shut for a holiday the previous day, while the euro's latest bounce slowed as the focus drifted back to the economy and European Central Bank policy.
The dollar index versus a basket of six major currencies was little changed at 96.784 after ending the previous session flat. The US financial markets were closed on Monday for Presidents' Day.
The euro was little changed at $1.1312 after edging up 0.16 percent overnight, when it pulled away from a three-month low of $1.1234. The dollar was available against the Malaysian ringgit at 4.085 and the greenback was at 6.774 in terms of the Chinese yuan. In the third Asian trade, the dollar was capped against its peers on Wednesday on falling US yields and before the Federal Reserve's policy meeting minutes, though it managed to gain on the yen as stronger investor risk appetite curbed demand for the Japanese currency.
The dollar index versus a basket of six major currencies was a touch lower at 96.451 after shedding about 0.4 percent overnight. The dollar was trading against the Indian rupee at Rs 71.220, the greenback was 4.068 in terms of the Malaysian ringgit and the US currency was at 6.724 in relation to the Chinese yuan.
In the fourth Asian trade, the dollar inched up on Thursday after minutes from the Federal Reserve's last meeting revived expectations for a possible US rate hike this year while the Aussie dollar skidded on policy easing expectations and a Chinese ban on Australian coal.
The dollar index against a basket of six major currencies added 0.17 percent to 96.614, crawling away from a two-week trough of 96.286 marked on Wednesday. The dollar was trading against the Indian rupee at Rs 71.108, the greenback was available at 4.071 versus the Malaysian ringgit and the US currency was at 6.703 in relation to the Chinese yuan.
In the final Asian trade, higher US bond yields underpinned the dollar on Friday, while its Australian counterpart steadied after its recent sharp slide on upbeat central bank comments and easing concerns about China's ban on Australian coal imports.
The dollar index against a basket of six major currencies was little changed at 96.608 after edging up about 0.15 percent overnight when long-term Treasury yields surged to a one-week high on news of progress in US-China trade talks.
However, the greenback's gains were capped after Thursday's soft US economic data, including an unexpected fall in core capital goods orders and weak existing home sales, which affirmed expectations that the Federal Reserve will hold interest rates steady.
The dollar war trading against the Indian rupee at Rs 71.163, the greenback was at 4.081 versus the Malaysian ringgit and the US currency was available at 6.729 in terms of the Chinese yuan.
In the final US trade, the dollar fell on Friday as investors took on riskier assets after top US and Chinese leaders said a trade deal between their countries was likely. Just over a week remains before higher tariffs can be triggered by the expiration of a US-imposed deadline for an agreement.
But on Friday, US President Donald Trump and Chinese President Xi Jinping both said significant progress had been made in the trade talks and that a deal was possible in the near future. Xi's message was delivered in a letter to Trump.
Trump also said on Friday that if he saw progress in trade talks with China, he might be inclined to extend negotiations beyond a March 1 deadline, and suggested it was likely the globe's two largest economies would be able to make a deal.