The rupee moved both ways against the dollar on money market during the week, ended on February 27, 2016. In the interbank market, the rupee gained 24 paisas against the dollar for buying and selling at Rs 104.84 and Rs 104.85.
In the open market, the rupee shed 10 paisas versus the dollar for buying and selling at Rs 106.10 and Rs 106.30. While, the rupee appreciated by 25 paisas in terms of the euro for buying and selling at Rs 116.00 and Rs 117.00.
The rupee managed to gain due to easy supply of dollar, analysts said and adding that to curb speculative buying of dollars, the State Bank of Pakistan (SBP) asked commercial banks to check misuse of forex, because it's doubts over possible use of banking sector for money laundering and illegal transfer of funds, experts said.
Commenting on the range-bound trading in the money market, they said that the rupee has managed to hold the present levels due to implementation of rules and regulation in the system.
But it is felt that to keep a balance between demand and supply, the central bank trying hard to get desired purpose, they added.
A few analysts were of the opinion that dollars' supply is enough to meet demand, some speculators want to create dearth of dollar like situation in the market.
INTERBANK MARKET RATES: On Monday, the rupee drifted lower by five paisas versus the dollar for buying and selling at Rs 104.84 and Rs 104.85. On Tuesday, the rupee managed to recover four paisas versus the dollar for buying and selling at Rs 104.79 and Rs 104.81. On Wednesday, the rupee picked up 12 paisas versus the dollar for buying and selling at Rs 104.67 and Rs 104.70.
On Thursday, the rupee gained two paisas versus the dollar for buying and selling at Rs 104.65 and Rs 104.68. On Friday, the rupee gained five paisas versus the dollar for buying and selling at Rs 104.60 and Rs 104.62.
OPEN MARKET RATES: On February 22, the rupee followed the same pattern in relation to the greenback, losing 10 paisas for buying and selling at Rs 106.00 and Rs 106.20, they said. While, the rupee picked up by Re one in terms of the euro for buying and selling at Rs 116.25 and Rs 117.25.
On February 23, the rupee firmly sustained the overnight gains against the dollar for buying and selling at Rs 106.00 and Rs 106.20. While, the rupee shed five paisas in terms of the euro for buying and selling at Rs 116.30 and Rs 117.30, they added.
On February 24, the rupee retained overnight levels against the dollar for buying and selling at Rs 106.00 and Rs 106.20. While, the rupee maintained recovery in terms of the euro, rising 50 paisas for buying and selling at Rs 115.80 and Rs 116.80.
On February 25, the rupee sustained overnight levels against the dollar for buying and selling at Rs 106.00 and Rs 106.20, they said. While, the rupee lost 80 paisas in terms of the euro for buying and selling at Rs 116.50 and Rs 117.50, they added. On February 26, the rupee did not move any side versus the dollar for buying and selling at Rs 106.10 and Rs 106.30. While, the rupee appreciated by 50 paisas in terms of the euro for buying and selling at Rs 116.00 and Rs 117.00. On February 27, the rupee did not move any side versus the dollar for buying and selling at Rs 106.10 and Rs 106.30. While, the rupee appreciated by 50 paisas in terms of the euro for buying and selling at Rs 116.00 and Rs 117.00.
OVERSEAS OUTLOOK FOR DOLALR: In the first Asian trade, sterling fell as concern grew that Britain would quit the European Union, after London Mayor Boris Johnson threw his weight behind the exit campaign. The dollar, euro and yen were little changed.
The pound fell around 1 percent against the dollar, euro and yen. It slid as far as $1.4235 and 160.07 yen from around $1.4405 and 162.10 late on Friday. The euro popped back above 78.00 pence and last stood at 77.85.
The dollar was trading against the Indian rupee at Rs 68.55, the greenback was at 4.2070 in terms of the Malaysian ringgit and the US currency was at 6.5193.
Inter bank buy/sell rates for the taka against the dollar on Monday: 78.50-78.50 (previous 78.50-78.50).
In the second Asian trade, the yen gained broadly as risky assets lost traction and revived demand for the safe-haven currency, while the sterling and euro were shaky after suffering hefty losses on uncertainty over Britain's membership in the European Union.
The dollar was down 0.6 percent at 122.235 yen, surrendering overnight gains made on a bounce in equities and commodities, touching an 11-day trough of 122.00. The euro touched 123.71 yen, its lowest since April 2013.
The dollar was trading against the Indian rupee at Rs 68.62, the greenback was at 4.1850 in terms of the Malaysian ringgit and the US currency was at 6.5292 in relation to the Chinese yuan.
Inter bank buy/sell rates for the taka against the dollar on Tuesday. 78.48-78.50 (previous 78.50-78.50)
In the third Asian trade, the yen gained against key peers like the dollar and euro as sagging stocks and crude oil drove bids for the safe-haven currency.
Undercutting upward momentum for equities, oil prices retraced earlier gains made at the week's start and tumbled after Saudi Arabia ruled out production cuts.
The euro lost 0.2 percent to 123.215 yen, within reach of a near three-year low of 123.09 hit on Tuesday. The dollar slipped to an 11-day low of 111.75 yen and last fetched 111.955.
The dollar was expected to have an edge over the yen at the start of the year, when the Federal Reserve was seen embarking on a series of interest rate hikes.
But recent global market volatility involving sharp downturns in equities and commodities has tempered US rate hike expectations, enhancing the appeal of the safe-haven yen.
The dollar was trading against the Indian rupee at Rs 68.57, the greenback was at 4.2300 in terms of the Malaysian ringgit and the greenback was at 6.5323 versus the Chinese yuan.
In the forth Asian trade, sterling licked its wounds near a seven-year low against the dollar, hampered by worries Britain may exit the European Union, while a rebound in oil prices helped stem buying in the safe-haven yen.
The British pound last stood at $1.3942, down 3.2 percent so far this week, with a test of its 2009 low of $1.35 within sight. It slid to $1.3878 on Wednesday, its lowest since early 2009.
The dollar was trading against the Indian rupee at Rs 68.57, the greenback was at 4.2120 versus the Malaysian ringgit and the US currency was at 6.5332 in terms of the Chinese yuan. Inter bank buy/sell rates for the taka against the dollar on Thursday: 78.45-78.46 (previous 78.48-78.48).
In the final Asian trade, the dollar edged down on Friday but was still on track for weekly gains against its major counterparts, as investors focused on the two-day Group of 20 nations' currency and economic talks that kicked off in Shanghai. The dollar index, which tracks the greenback against a basket of six rival currencies, was down about 0.2 percent at 97.129, but up about 0.6 percent for the week.
The dollar slipped about 0.2 percent to 112.83 yen after earlier rising as high as 113.22, more than two yen above this week's trough of 111.04 yen. It was up about 0.2 percent for the week.
The dollar was available against the Indian rupee at Rs 68.71, the dollar was at 4.2000 in terms of the Malaysian ringgit and the greenback was at 6.5343 in relation to the Chinese yuan.
At weekend, the dollar rose broadly on Friday after mostly upbeat US economic data renewed some expectations that the Federal Reserve could raise interest rates again this year. The dollar index, a measure of the greenback's value against six major currencies, posted its best weekly performance since November. Against the Japanese yen, the dollar rose to a more than one-week high.