THE RUPEE: sharp gains in open market

09 Dec, 2006

Firmness prevailed in the currency market on Friday as the rupee gained slightly in relation to the dollar, dealers said. The rupee improved with sharp gain in terms of the dollar, picking up eight paisa at 60.84 for buying and was up by seven paisa for selling at 60.90 in the open market, they observed.
The rupee also posted fresh gain of 15 paisa versus the euro for buying and selling at Rs 80.60 and Rs 80.70. The single European currency faded as the US currency started rising from the bottom, they said.
In the international markets, the dollar shuttled in fairly narrow ranges on Friday as investors braced for a key US employment report, that could help decipher what the Federal Reserve's next move might be on interest rates. The yen had only a muted reaction to revised figures showing that the Japanese economy grew slightly less than expected in July-September from the previous quarter.


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Buying Rs 60.84
Selling Rs 60.90
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Buying Rs 60.88
Selling Rs 60.89
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Repo Rates (Yield p a)
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Tenor Low Bid High Bid Low Offer High Offer Average
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Overnight 7.75 9.40 8.00 9.40 8.64
1-Week 8.50 8.75 8.65 8.90 8.70
2-Weeks 8.50 8.80 8.60 8.90 8.70
1-Month 8.60 8.70 8.75 8.90 8.74
2-Months 8.65 8.80 8.75 9.00 8.80
3-Months 8.70 8.80 8.75 9.00 8.81
4-Months 8.70 9.00 8.85 9.15 8.93
5-Months 8.75 9.00 8.90 9.15 8.95
6-Months 8.80 9.10 8.90 9.20 9.00
9-Months 8.85 9.10 9.00 9.25 9.05
1-Year 8.90 9.10 9.10 9.35 9.11
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Call Rates (Yield p a)
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Tenor Low Bid High Bid Low Offer High Offer Average
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Overnight 8.50 9.50 8.75 9.75 9.13
1-Week 9.25 9.75 9.50 10.00 9.63
2-Weeks 9.25 9.75 9.50 10.00 9.63
1-Month 9.75 10.50 10.00 10.75 10.25
2-Months 9.75 10.50 10.25 10.75 10.31
3-Months 10.25 10.75 10.50 11.00 10.63
4-Months 10.25 10.75 10.25 11.00 10.56
5-Months 10.25 10.75 10.50 11.00 10.63
6-Months 10.25 11.00 10.50 11.25 10.75
9-Months 10.25 11.00 10.50 11.25 10.75
1-Year 10.50 11.25 11.00 11.50 11.06
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According to currency dealers, the dollar resumed trading at overnight rates of Rs 60.95 and Rs 61.05 for buying and selling, respectively. However, the dollar could not sustain due to lack of buying support, and declined to Rs 60.90 and Rs 61.00 on buying and selling counters, respectively, dealers said.
Similarly, the local currency showed steep rise of 60 paisa against pound sterling. The pound's buying rate declined from Rs 119.60 to Rs 119.00 and selling rate from Rs 120.10 to Rs 119.50, dealers added.
The opened Rs 60.90 (buying) and Rs 61 (selling) against same overnight value. It did not observe any further change in the evening session and closed at Rs 60.90 (buying) and Rs 61 (selling) by the end of second spell.
Pound sterling opened at Rs 119.20 (buying) and Rs 119.40 (selling) against same previous rate. British currency did not observe any further change in the second session and closed at Rs 119.20 (buying) and Rs 119.40 (selling).

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