Falling trend continued on the currency market on Monday as the rupee fell against both US dollar and euro, dealers said. In the interbank market, the rupee shed 10 paisa against dollar for buying at 78.20 and it lost five paisa for selling at 78.25, they said.
According to some dealers the rupee touched the low level at 78.35 due to short supply of dollars. In the first Asian trading dollar fell against yen and euro as investors awaited details of a planned $700 billion US bailout of bad mortgage debt, showing some scepticism about whether it can solve the worst credit crisis since the Great Depression.
The Bush administration sent the rescue package to Congress seeking authority to tackle the credit crisis, saying the bailout is needed to shield the US economy. In the proposed package, the US government could acquire up to $700 billion of home and commercial mortgages and related assets from US banks, after curbing short selling and guaranteeing mutual funds in an effort to stabilise financial markets.
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Open Buying Rs 78.10
Open Selling Rs 78.50
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Buying Rs 78.20
Selling Rs 78.25
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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 12.90 12.90 12.90 12.90 12.90
1-Week 12.60 12.80 12.85 12.90 12.79
2-Week 12.65 12.80 12.80 12.90 12.79
1-Month 12.60 12.80 12.75 12.90 12.76
2-Months 12.40 12.60 12.55 12.65 12.55
3-Months 12.45 12.60 12.60 12.70 12.59
4-Months 12.45 12.60 12.60 12.70 12.59
5-Months 12.45 12.60 12.60 12.70 12.59
6-Months 12.50 12.65 12.60 12.70 12.61
9-Months 12.50 12.65 12.60 12.70 12.61
1-Year 12.55 12.65 12.65 12.75 12.65
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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 13.50 20.00 14.00 21.00 17.13
1-Week 13.50 17.00 14.00 18.00 15.63
2-Week 13.50 16.00 14.00 16.00 14.88
1-Month 13.50 15.00 14.00 15.50 14.50
2-Months 13.50 15.00 14.00 15.50 14.50
3-Months 13.50 15.00 14.00 15.50 14.50
4-Months 13.50 15.00 13.75 15.50 14.44
5-Months 13.50 15.25 14.00 15.75 14.63
6-Months 13.50 15.25 14.00 15.75 14.63
9-Months 13.75 15.50 14.50 16.00 14.94
1-Year 13.75 15.50 14.50 16.00 14.94
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The dollar, following deteriorating law and order situation that geared up panic buying in the market, closed higher at Rs 78.20 and Rs 78.50 as its buying and selling rates against the Saturday closing of Rs 77.60 and Rs 78.20, respectively. Similarly, the rupee continued last week downward slide and lost its value against the British pound. The pound's buying and selling rate increased to Rs 142.00 and Rs 143.00 from previous week closing of Rs 141.00 and Rs 142.00, respectively.