Falling trend in the euro value globally pressurised the single European currency to surrender its overnight gains in the kerb market on Wednesday, which lost 25 paisa for buying and selling at Rs 72.60 and Rs 72.90, respectively.
The dollar recovered some ground versus major currencies on bargain hunting in world markets, dealers said. The euro fell to 1.27 dollar from its high at 1.2813 dollar.
However, some overseas observers said that dollar's gain could be short-lived and the dollar could continue its decline in the long run.
The euro may recover its lost ground versus the greenback because the market is only going through a temporary adjustment phase, they added.
Commenting on rupee's vulnerability, analysts said that heavy payments by the government of Pakistan in January, 2004, and slight fall in remittances, probably, were the leading reasons for rupee's decline in relation to dollar.
However, the rupee maintained its overnight levels in kerb market versus the dollar for buying and selling at Rs 57.47 and Rs 57.52.
Trading activity was range-bound in the interbank market as the rupee stood firmly versus the dollar for buying and selling at Rs 57.42 and 57.44.
================================
Kerb Buying Rs 57.47
Kerb Selling Rs 57.52
================================
==============================
Buying Rs 57.42
Selling Rs 57.44
==============================
=================================================================
Repo Rates (Yield p a)
-----------------------------------------------------------------
Tenor Low Bid High Bid Low Offer High Offer Average
=================================================================
Overnight 0.10 0.30 0.20 0.75 0.34
1-Week 0.20 0.40 0.60 0.80 0.50
2-Week 0.30 0.50 0.70 0.90 0.60
1-Month 1.00 1.20 1.40 1.60 1.30
2-Month 1.10 1.30 1.50 1.70 1.40
3-Month 1.10 1.30 1.50 1.70 1.40
4-Month 1.20 1.40 1.60 1.80 1.50
5-Month 1.30 1.50 1.70 1.90 1.60
6-Month 1.40 1.60 1.80 2.00 1.70
9-Month 1.70 1.90 2.10 2.30 2.00
1-Year 1.90 2.00 2.20 2.40 2.13
=================================================================
Call Rates (Yield p a)
-----------------------------------------------------------------
Tenor Low Bid High Bid Low Offer High Offer Average
=================================================================
Overnight 0.20 0.40 0.25 0.80 0.41
1-Week 0.30 0.50 0.70 0.90 0.60
2-Week 0.40 0.60 0.80 1.00 0.70
1-Month 1.10 1.30 1.50 1.70 1.40
2-Month 1.20 1.40 1.60 1.80 1.50
3-Month 1.20 1.40 1.60 1.80 1.50
4-Month 1.30 1.50 1.70 1.90 1.60
5-Month 1.40 1.60 1.80 2.00 1.70
6-Month 1.50 1.70 1.90 2.10 1.80
9-Month 1.80 2.00 2.20 2.40 2.10
1-Year 2.00 2.10 2.30 2.50 2.23
=================================================================