As a result of corrective measures by the concerned authority, the rupee managed to halt sharp decline against the dollar during the week, ended on 28 April, 2018. In the open market, the rupee fell by 20 paisa in relation to the dollar for buying at Rs 118.20 and it also shed 30 paisa for selling and Rs 118.70. The rupee gained 55 paisa in terms of the euro for buying and selling at Rs 143.25 and Rs 144.75.
In the inter-bank market, the rupee depicted no major changes against the dollar for buying and selling at Rs 115.61 and Rs 115.62, they said. During the last week, the rupee fell sharply in terms of the dollar due to strong demand from investors, money viewers said. Persisting demand for the greenback, pushed the rupee value further down, they said.
As a result of the State Bank of Pakistan (SBP) assurance to the money changers and dealers for providing dollars to keep the rupee at a realistic level, the rupee halted sharp decline versus the greenback. But, it looks some difficult to bring the dollar's value down as demand of the dollar is rising with the passage of time, they said.
In the meantime, the President of the Forex Association of Pakistan (FAP), Malik Bostan said that we will try our best to bring the rupee back on track.
OPEN MARKET RATES: On Monday, the rupee dropped 40 paisa in relation to the dollar for buying and selling at Rs 118.00 and Rs 118.40. The rupee, however, gained 50 paisa versus the euro for buying and selling at Rs 143.80 and Rs 145.30.
On Tuesday, the rupee lost 30 paisa in relation to the dollar for buying at Rs 118.30 and it also shed 20 paisa for selling at Rs 118.60. The rupee followed the suit in terms of the euro, losing 20 paisa versus the euro for buying and selling at Rs 144.00 and Rs 145.50.
On Wednesday, the rupee lost 30 paisa in relation to the dollar for buying and selling at Rs 118.60 and at Rs 118.90, they said. The rupee did not move any side in terms of the euro for buying and selling at Rs 144.00 and Rs 145.50, they added.
On Thursday, the rupee gained 40 paisa in relation to the dollar for buying at Rs 118.20 and it also picked up 20 paisa for selling at Rs 118.70, they said. The rupee also appreciated by 40 paisa in terms of the euro for buying and selling at Rs 143.60 and Rs 145.00, they added.
On Friday, the rupee was unmoved in relation to the dollar for buying at Rs 118.20 and it also picked up 20 paisa for selling at Rs 118.70, they said. The rupee gained sharply in terms of the euro for buying and selling at Rs 142.50 and Rs 144.00, they added.
On Saturday, the rupee did not move any side in relation to the dollar for buying and selling at Rs 118.20 and Rs 118.70, they said. The rupee lost 75 paisa in terms of the euro for buying and selling at Rs 143.25 and Rs 144.75.
INTER-BANK MARKET RATES: On April 23, the rupee showed one paisa fall against the dollar for buying and selling at Rs 115.61 and Rs 115.62. On April 24, the rupee showed no change against the dollar for buying and selling at Rs 115.61 and Rs 115.62, they said.
On April 25, the rupee was unchanged against the dollar for buying and selling at Rs 115.61 and Rs 115.62, they said. On April 26, the rupee inched up by one paisa against the dollar for buying and selling at Rs 115.61 and Rs 115.62.
On April 27, the rupee was almost unchanged against the dollar for buying and selling at Rs 115.61 and Rs 115.62, they said.
OVERSEAS OUTLOOK FOR DOLLAR: In the first Asian trade, the dollar traded near a two-week high against a basket of major currencies on Monday, bolstered by rising US bond yields, while easing concerns over global political risks weighed on the safe haven yen.
The dollar's index against a basket of six major peers edged up 0.1 percent to 90.401, staying within sight of a two-week high of 90.477 set on Friday.
The dollar was trading against the Indian rupee at Rs 66.205, the greenback was at 3.896 in terms of the Malaysian ringgit and the US currency was at 6.295 in relation to the Chinese yuan. Inter bank buy/sell rates for the taka against the dollar on Monday: 82.98-82.98 (Previous 82.98-82.98).
In the second Asian trade, the dollar set a three-month high against a basket of currencies on Tuesday, having gained a boost as the US 10-year Treasury yield climbed toward the psychologically key 3 percent level.
The dollar was trading against the Indian rupee at Rs 66.475, the greenback was at 3.906 in relation the Malaysian ringgit and the US currency was at 6.317 versus the Chinese yuan. Inter bank buy/sell rates for the taka against the dollar on Tuesday: 82.98-82.98 (Previous 82.98-82.98).
In the third Asian trade, the dollar inched up on Wednesday, approaching its recent four-month high as the US 10-year bond yield poked above 3 percent to hit its highest level since early 2014.
The dollar index against a basket of six major currencies rose 0.1 percent to 90.844. The dollar was trading against the Indian rupee at Rs 66.665, the greenback was at 3.908 in terms of the Malaysian ringgit and the US currency was available at 6.308 versus the Chinese yuan.
Inter bank buy/sell rates for the taka against the dollar on Wednesday: 82.98-82.98 (Previous 82.98-82.98).
In the fourth Asian trade, the dollar traded near a 3-1/2-month high against a basket of currencies on Thursday, bolstered by higher US Treasury yields, led by the 10-year benchmark breaching the 3 percent threshold this week for the first time in four years.
The dollar's index against a basket of six major currencies was at 91.136, having risen to a high of 91.261 on Wednesday, its strongest since January 12.
The dollar was available against the Indian rupee at Rs 66.853, the greenback was at 3.918 versus the Malaysian ringgit and the US currency was trading at 6.324 in terms of the Chinese yuan.
Inter bank buy/sell rates for the taka against the dollar on Thursday: 82.98-82.98 (Previous 82.98-82.98).
In the final Asian trade, the dollar held near a 3-1/2-month high against a basket of currencies on Friday as higher US yields prompted an unwinding of short positions in the currency while the euro was hampered by a dovish tone from the European Central Bank.
The dollar's index against six major currencies on Thursday hit a high of 91.639, its strongest level since mid-January, as investors have warmed to the greenback thanks to attractive Treasury yields. It last stood at 91.527.
Earlier this year, the correlation between US yields and the dollar had broken down as investors focused more on trade frictions and geopolitical issues, with currencies largely driven by Trump's tweets than by economic data and yields.
But so far this week, the markets have turned their attention to interest rate plays, pushing concerns over US-China trade on the back burner for now.
The dollar was trading against the Indian rupee at Rs 66.685, the greenback was at 66.75 in terms of the Malaysian ringgit and the US currency was available at 6.337 versus the Chinese yuan.
In the final NY trade, the dollar held steady on Friday despite a government report showing slower US first-quarter economic growth, with the currency on track to end its strongest week since November 2016, having gained 1.4 percent.
On Tuesday, the US benchmark government bond yield broke through the psychologically significant 3 percent level for the first time in more than four years as investors reduced their US bond holdings on worries about rising inflation and growing government debt supply.
While Friday extended the week's gains, the dollar's move was muted by comparison, last up just 0.1 percent at 91.671 against a basket of six currencies, though still its highest since January 12.
"The market's taking a bit of a breather after some significant moves over the better part of last week," said Omer Esiner, chief market analyst at Commonwealth Foreign Exchange Inc, in Washington DC.