The rupee managed to gain modestly against the dollar, whereas, the national currency, fell sharply versus the euro on the money market during the week, ended on September 9, 2017. Marketmen said that smooth supply of dollar helped the rates to recover modest ground. If dollars' supply improves, the rupee may manage to move up marginally in terms of the dollar in coming days, they added.
OPEN MARKET RATES: The rupee rose by 30 paisas in terms of the dollar for buying and selling Rs 105.70 and Rs 105.90, at the same time, the rupee fell sharply versus the euro, losing Rs 1.25 to Rs 126.50 Rs 128.00.
INTERBANK MARKET RATES: The rupee traded within the band of Rs 105.39 and Rs 105.41 in terms of dollar.
INTERBANK MARKET RATE: On Monday, the all financial markets were closed due to Eid-ul-Azha holidays. The rupee traded almost within the range of Rs 105.39 and Rs 105.41.
OPEN MARKET RATES: On September 5, the rupee did not move any side in relation to the dollar for buying and selli9ng at Rs 106.00 and Rs 106.20. The rupee dropped by 50 paisas in terms of the euro for buying and selling at Rs 125.80 Rs 127.30.
On September 6, the rupee was unchanged against the dollar for buying and selli9ng at Rs 105.90 and Rs 106.10. The rupee, however, lost 75 paisas versus the euro for buying and selling at Rs 124.75 Rs 126.00. On September 7, the rupee shed 10 paisas versus the dollar for buying and selli9ng at Rs 106.00 and Rs 106.20.
The rupee also lost 55 paisas in relation to the euro for buying and selling at Rs 125.30 Rs 126.60. On September 8, the rupee picked up 20 paisas in relation to the dollar for buying and selli9ng at Rs 105.80 and Rs 106.00.
The rupee, however, lost 70 paisas in terms of the euro for buying and selling at Rs 126.50 and Rs 128.00. On September 9, the rupee managed to sustain overnight levels, picking up further 10 paisas in relation to the dollar for buying and selli9ng at Rs 105.70 and Rs 105.90. The rupee also gained 60 paisas in terms of the euro for buying and selling at Rs 126.00 Rs 127.50.
OVERSEAS OUTLOOK FOR DOLLAR: In the first Asian trade, the yen gained against the dollar and other currencies in early Asian trade on Monday, as investors trimmed their exposure to higher-risk assets after North Korea conducted its most powerful nuclear test. The dollar fell to as low as 109.22 yen in early trade and last stood at 109.87 yen, down 0.3 percent from levels seen in late US trade on Friday. The euro was 0.2 percent lower at 130.59 yen, having fallen to 129.65 earlier.
The yen almost always gains when investors try to reduce exposure to risk because the currency is often used as a funding source to buy riskier, higher-yielding assets. Japan is also the world's largest net creditor nation and at times of uncertainty, traders assume Japanese repatriation from foreign countries will outweigh foreign investors selling of Japanese assets. The yen has continued to behave as a safe-haven currency despite Japan's proximity to North Korea.
The dollar was trading against the Indian rupee at Rs 64.030 and the US currency was at 6.548 in terms of the Chinese yuan. In the second Asian trade, the dollar slipped against the Japanese yen and Swiss franc on Tuesday as global tensions simmered amid signs that North Korea could conduct more missile tests.
The US currency was down 0.4 percent at 109.335 yen, nearing a low of 109.220 hit the previous day in a knee-jerk reaction to North Korea's hydrogen bomb test on Sunday.
The Swiss franc advanced 0.2 percent at $0.9548 franc per dollar, adding to gains from Monday, when it rose 0.7 percent. Geopolitical tensions flared anew after North Korea conducted a powerful nuclear test on Sunday. The region has remained nervous, bracing for more ballistic missile tests amid perceived signs of activity by Pyongyang ahead of September 9, when the country marks its founding day.
The dollar was trading against the Indian rupee at Rs 64.130, the greenback was at 4.266 in terms of the Malaysian ringgit and the US currency was at 6.541 in terms of the Chinese yuan. Inter bank buy/sell rates for the taka against the dollar on Tuesday: 80.70-80.70 (previous 80.70-80.70). In the third Asian trade, the dollar edged down against the yen, pushed back toward a recent 4-1/2-month low by simmering tensions on the Korean peninsula and by comments from a Federal Reserve official about subdued US inflation.
The dollar fell 0.1 percent to 108.72 yen and touched a low near 108.50 yen in Asian trading. That brought it back close to its August 29 nadir of 108.265 yen, its weakest since mid-April. The dollar was available versus the Indian rupee at Rs 64.233, the greenback was at 4.244 in terms of the Malaysian ringgit and the US currency was available at 6.538.
Inter bank buy/sell rates for the taka against the dollar on Wednesday: 80.70-80.70 (previous 80.70-80.70). In the fourth Asian trade, the euro held firm ahead of a European Central Bank policy decision, with the focus on what the ECB might say about the currency's recent strength and how that may influence the policy outlook.
The euro edged up 0.1 percent to $1.1925, still some way off last week's high of $1.2070, its highest level since January 2015. The common currency has lost some momentum since hitting that 2-1/2 year peak, weighed down by rising expectations that a stronger euro could slow the ECB's plans to rein in its bond-buying stimulus.
Only 15 of 66 economists polled by Reuters expect the ECB to announce a reduction of its monthly asset purchases at Thursday's ECB policy meeting-a sharp reversal from a month ago when slightly over half of respondents expected such a move. The dollar was trading against the Indian rupee at Rs 64.020, the greenback was at 4.214 in terms of the Malaysian ringgit and the US currency was available at 6.523 against the Chinese yuan.
Inter bank buy/sell rates for the taka against the dollar on Thursday: 80.70-80.70 (previous 80.70-80.70). In the final Asian trade, the euro reached a 2-1/2-year high versus the dollar, as a meeting by the European Central Bank gave bulls cause for short-term optimism and did little to support the beleaguered US currency.
Asked when the central bank will decide on potential policy tapering, ECB President Mario Draghi said on Thursday the bulk of these decisions will probably be taken in October. That was enough to make euro bulls upbeat on the single currency's near-term outlook.
But Draghi also said the ECB must take into account the weakening of inflation owing to the strong euro, with the central bank having opted to lower some of its inflation projections to reflect a firming common currency. The dollar was trading against the Indian rupee at Rs 63.885, the greenback was available at 4.184 versus the Malaysian yuan and the US currency was at 6.460 in relation to the Chinese yuan.
At the weekend, the US dollar hit a more than 2-1/2-year low against a basket of major rivals on reduced expectations for another Federal Reserve rate increase this year, while the euro hit multi-year highs in the wake of a European Central Bank meeting.
The dollar was last set to drop 2.2 percent against the yen for the week to mark its biggest weekly percentage decline in about 13 months. The dollar index, which measures the greenback against a basket of six major rivals, hit its lowest level since January 2015 of 91.011 and was set for its biggest weekly decline since late June of 1.6 percent. The euro rose as much as 0.6 percent to its highest since January 2015 of $1.2092. While the euro pared most of its gains, leaving it roughly flat against the dollar at $1.2027, it was on track for a weekly gain of 1.4 percent, putting it up more than 14 percent this year against the dollar.