THE RUPEE: Modest recovery on interbank market

02 Oct, 2010

Modest recovery was witnessed on the interbank market on Friday as the rupee managed to shed some losses versus dollar following increase in the country's foreign exchange reserves, dealers said. The rupee gave up overnight weakness against dollar, gaining 7 paisa for buying at 86.21 but losing 6 paisa for selling at 86.26, they said. According to State Bank of Pakistan (SBP) weekly data, foreign exchange reserves rose to a record 16.79 billion dollars in the week ending on September 24, 2010.
At 11:08 am (0538 GMT), the partially convertible rupee was at 44.71/72 per dollar after hitting 44.65, which was its strongest since May 4.


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Open Buying Rs 86.21
Open Selling Rs 86.26
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Buying Rs 86.40
Selling Rs 86.60
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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 10.60 11.90 10.65 12.00 11.29
1-Week 11.25 11.75 11.70 11.85 11.64
2-Week 11.40 12.25 12.00 12.35 12.00
1-Month 11.75 12.35 12.25 12.40 12.19
2-Months 12.25 12.60 12.50 12.70 12.51
3-Months 12.40 12.70 12.60 12.75 12.61
4-Months 12.50 12.75 12.75 12.85 12.71
5-Months 12.60 12.90 12.85 13.00 12.84
6-Months 12.60 12.90 12.90 13.00 12.85
9-Months 12.65 13.00 12.95 13.10 12.93
1-Year 12.65 13.00 13.00 13.15 12.95
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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 10.60 11.90 10.65 12.00 11.29
1-Week 11.35 11.80 11.75 11.90 11.70
2-Week 11.60 12.35 12.10 12.40 12.11
1-Month 12.25 12.50 12.50 12.60 12.46
2-Months 12.40 12.80 12.75 12.90 12.71
3-Months 12.50 13.00 12.85 13.10 12.86
4-Months 12.60 13.00 13.00 13.10 12.93
5-Months 12.70 13.10 13.10 13.20 13.03
6-Months 12.80 13.25 12.90 13.35 13.08
9-Months 12.90 13.30 13.10 13.40 13.18
1-Year 13.10 13.40 13.20 13.45 13.29
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According to the currency dealers, the dollar witnessed decrease in its supply that kept the rupee under pressure. However, the dollar's demand remained intact that helped rupee stability on selling side. At the end of trading the dollar was closed at Rs 86.65 and Rs 87.00 against the overnight closing of Rs 86.50 and Rs 87.00, buying and selling rates, respectively.
The rupee-pound sterling parity remained unchanged amid low trading activity in the open currency market. The pound was traded at Thursday closing of Rs 135.50 and Rs 136.60 on buying and selling rates, respectively, the dealers said.
The dollar showed an improvement of Re 1 against the rupee at the local currency markets. This is a record increase in the rate of dollar against the rupee as the dollar was trading over Rs 86.00 during the buying and selling activity at the federal capital.
The dollar resumed trading at Rs 86.00 (buying) and Rs 86.60 (selling) against last rate of Rs 85.00 (buying) and Rs 85.60 (selling). It did not observe further change in the evening session and closed at Rs 86.00 (buying) and Rs 86.60 (selling).
Pound Sterling opened at Rs 134.00 (buying) and Rs 135.00 (selling) in the morning session. It did not observe further change in the last trading hours and closed at Rs 134.00 (buying) and Rs 135.00 (selling).

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