The rupee halted its slide against the dollar in the local currency market, during the week, ended on 12, October 2013. In the interbank market, the rupee managed to gain five paisa in relation to the dollar for buying and selling at Rs 106.20 and Rs 106.25 respectively.
In the open market, the rupee followed same trend in terms of the dollar, gaining 20 paisa for buying and selling at Rs 106.30 and Rs 106.50 respectively. The rupee also picked up 25 paisa versus the euro for buying and selling at 142.75 and Rs 143 respectively.
After huge payments, according to the State Bank of Pakistan (SBP), country's foreign exchange reserves dropped sharply, however, according to experts, remittances by overseas Pakistanis likely to make-up some losses. They also said that if exports pick up, it is expected that foreign exchange reserves may improve in days to come.
INTER-BANK MARKET RATES: On Monday, the rupee was down by 15 paisa against the dollar for buying and selling at 106.25 and Rs 106.30 respectively. On Tuesday, the rupee gained 30 paisa against the dollar for buying and selling at 105.95 and Rs 106.00 respectively. On Wednesday, the rupee dropped by three paisa against the dollar for buying at Rs 105.80 while it remained firm for selling at Rs 106.00. On Thursday, the rupee continued fall versus the dollar, losing 10 paisa for buying and selling at Rs 106.08 and Rs 106.10 respectively. On Friday, the rupee drifted lower by 12 paisa in relation to the dollar for buying at Rs 106.20 and it also lost 15 paisa for selling at Rs 106.25.
OPEN MARKET RATES: On October 7, the rupee posted fresh gains of 40 paisa in terms of the dollar for buying at Rs 106.50 and it also fell by 30 paisa for selling at Rs 106.70. The rupee also appreciated against the euro, picking up 25 paisa for buying and selling at Rs 143.00 and Rs 143.25 respectively.
On October 8, the rupee followed same trend in relation to the dollar, picking up 30 paisa for buying and selling at Rs 106.20 and Rs 106.40 respectively.
The rupee also picked up 50 paisa against the euro for buying and selling at Rs 142.50 and Rs 142.75 respectively. On October 9, the rupee in relation to the dollar gained 40 paisa for buying and selling at Rs 105.80 and Rs 106.00 respectively. Following the same trend, the rupee also picked up 50 paisa against the euro for buying and selling at Rs 142.00 and Rs 142.25 respectively. On October 10, the rupee dipped sharply in terms of the dollar for buying and selling at Rs 106.40 and Rs 106.60 respectively. The rupee also lost 75 paisa against the euro for buying and selling at Rs 142.75 and Rs 143.00 respectively.
On October 11, the rupee stayed put in terms of the dollar for buying and selling at Rs 106.40 and Rs 106.60 respectively. While the rupee gained 25 paisa against the euro for buying and selling at Rs 142.50 and Rs 142.75 respectively. On October 12, the rupee moved up versus the dollar, gaining 10 paisa for buying and selling at Rs 106.30 and Rs 106.50 respectively. The rupee, however, fell by 25 paisa in terms of the euro for buying and selling at Rs 142.75 and Rs 143.00 respectively.
OVERSEAS OUTLOOK FOR DOLLAR: In the first Asian trade, the dollar dropped against the yen and the Swiss franc as the weekend produced little progress in Washington over the US budget standoff, keeping the greenback stuck close to 8-month lows against a basket of major currencies.
Republican House Speaker John Boehner vowed on Sunday that there is "no way" Republican lawmakers will agree to a measure to raise the debt ceiling unless it includes conditions to rein in deficit spending.
Inter bank buy/sell rates for the taka against the dollar on Monday. 77.75-77.75 (77.75-77.75) Call Money Rates: 06.50-08.25 percent (previous 06.50-08.25 percent). The dollar was trading against the Indian rupee at Rs 61.43, the greenback was at 3.1830 in terms of the Malaysian ringgit and the US currency was at 6.1220 in relation to the Chinese yuan.
On the second day of Asian trade, the continuing US fiscal standoff pushed the dollar to a fresh eight-month low against the yen in early trading on Tuesday and kept it under pressure against a basket of major currencies.
Although a breakthrough still appeared elusive, a few hopeful signs emerged on Monday, with President Barack Obama saying he would accept a short-term increase in the nation's borrowing authority to avoid a default. An influential Senator is also said to be floating a plan to cut federal spending and reform the US tax code as part of a broader deal. Inter bank buy/sell rates for the taka against the dollar on Tuesday. 77.75-77.75 (77.75-77.75). Call Money Rates: 06.50-08.25 percent (previous 06.50-08.25 percent). On the third day of Asian trade, the dollar got some relief against the yen on Wednesday from news President Barack Obama has tapped dovish Federal Reserve Vice Chairwoman Janet Yellen to head the US central bank, though the US budget impasse kept the greenback near an eight-month trough against a basket of currencies.
Against the safe-haven yen, the dollar rose about 0.5 percent on the day to 97.38 yen, moving away from a two-month low of 96.55 touched on Tuesday, and from Wednesday's session low of 96.83 yen. The dollar broke below its 200-day moving average against the yen for the first time since November on Tuesday, but the break was not sustained.
The dollar was trading against the Indian rupee at Rs 61.81, the US currency was at 3.2010 in relation to the Malaysian ringgit and the greenback was at 6.1193 against the Chinese Yuan. During the fourth Asian trade, the dollar firmed broadly on signs Washington is clawing towards breaking a stalemate and averting a possible US debt default late next week. The dollar index inched up to 80.47, extending its recovery from an eight-month low of 79.627 hit a week ago. The euro was slightly easier at $1.3498 after having fallen 0.35 percent overnight.
Inter bank buy/sell rates for the taka against the dollar on Thursday. 77.7500-77.7525 (77.75-77.75). Call Money Rates: 05.80-09.80 percent (previous 05.80-08.50 percent). The dollar was trading against the Indian rupee at Rs 61.93, the greenback was at 3.2015 in terms of the Malaysian ringgit and the US currency was available at 6.1200 in relation to the Chinese yuan.
In the final Asian trade, the dollar treaded water, holding just below two-week highs against major currencies hit in the previous session on hopeful signals of progress toward averting a possible US debt default.
The dollar was trading against the Indian rupee at Rs 61.39, the greenback was at 3.1810 in relation to the Malaysian ringgit and the US currency was at 6.112 versus the Chinese yuan.
At the week-end, the dollar was on track for its first weekly gain in five against a basket of currencies, as optimism grew that the US Congress will reach agreement on a stop-gap deal to avert a devastating US default.