The rupee posted fresh gains against the dollar on the money market during the week, ended on May 19, 2018. The rupee gained two paisa versus the dollar for buying and selling at Rs 115.58 and Rs 115.60.
INTER-BANK MARKET RATES: OPEN MARKET RATES: The rupee gained 20 paisa in terms of the dollar for buying and selling at Rs 117.10 and Rs 117.60. The national currency also lost 20 paisa versus the euro for buying and selling at Rs 137.70 and Rs 139.20.
Explaining the firmness in the rupee versus the dollar, experts said that dollars' supply improved, which helped rupee to recover modest ground. Hopefully, the rupee is likely to move both ways in terms of the dollar in the coming days.
In the meantime, diminishing foreign exchange reserves giving an impression that the dollars' supply may come under pressure, they said. Country's foreign exchange reserves came down on payments requirements for oil and other import bills, they added.
INTER-BANK MARKET RATES: On Monday, the rupee stayed put against the dollar for buying and selling at Rs 115.61 and Rs 115.62. On Tuesday, the rupee sustained it's levels versus the dollar for buying and selling Rs 115.61 and Rs 115.62.
On Wednesday, the rupee sustained it's levels versus the dollar for buying and selling Rs 115.61 and Rs 115.62. On Thursday, rupee-dollar was unchanged as the rates were not issued due to bank closing for Zakat reduction. On Saturday, the rupee picked up two paisa in relation to the dollar for buying and selling Rs 115.58 and Rs 115.60.
OPEN MARKET RATES: On May 14, the rupee was unchanged in terms of the dollar for buying and selling at Rs 117.30 and Rs 117.80. The national currency lost 45 paisa versus the euro for buying and selling.
On May 15, the rupee firmly held it's presents levels in terms of the dollar for buying and selling at Rs 117.30 and Rs 117.80. The national currency rose by 95 paisa versus the euro for buying and selling at Rs 139.25 and Rs 140.75.
On May 16, the rupee was unchanged in terms of the dollar for buying and selling at Rs 117.30 and Rs 117.80, versus the euro, the rupee gained sharply for buying and selling at Rs 137.75 and Rs 139.25.
On May 17, the rupee picked up 10 paisa in terms of the dollar for buying and selling at Rs 117.20 and Rs 117.70. The national currency also gained 15 paisa versus the euro for buying and selling at Rs 137.60 and Rs 139.10.
On May 18, the rupee rose by 20 paisa in terms of the dollar for buying and selling at Rs 117.00 and Rs 117.50. The rupee was available against the euro for buying and selling at Rs 137.50 and Rs 139.00.
On May 19, the rupee shed 10 paisa in terms of the dollar for buying and selling at Rs 117.10 and Rs 117.60. The national currency also lost 20 paisa versus the euro for buying and selling at Rs 137.70 and Rs 139.20.
OVERSEAS MARKET OUTLOOK: In the first Asian trade, the dollar's recent rally ran out of steam on Monday with U.S. yields sinking as investors wound back expectations that the U.S. Federal Reserve will launch a series of rapid rate hikes this year.
The dollar index against a basket of six major currencies was down 0.15 percent at 92.402. The index hit a 4-1/2-month high of 93.416 last Wednesday, as a rise in US Treasury yields highlighted the wide interest rate gap between the United States and other countries.
The dollar was trading against the Indian rupee at Rs 67.283, the greenback was at 3.946 versus the Malaysian ringgit and the US currency was at 6.340 in relation to the Chinese yuan.
In the second Asian trade, the dollar inched up against a basket of currencies on Tuesday from its lowest level in more than a week as hopes for an easing of global trade tensions pushed US bond yields higher.
The dollar's index versus a basket of six major peers rose about 0.1 percent to 92.647, pulling up from 92.243 on Monday, which was its lowest level since May 2.
The dollar was trading against the Indian rupee at Rs 67.675, the greenback was available versus the Malaysian ringgit at 3.951 and the US currency was at 6.349 in terms of the Chinese yuan. Inter bank buy/sell rates for the taka against the dollar on Tuesday: 83.60-83.60 (Previous 83.10-83.10).
In the third Asian trade, the dollar hovered near a five-month high against a group of major currencies, as a surge in the benchmark 10-year Treasury yield above 3 percent reignited a rally that had lost steam last week.
The dollar index versus a basket of six major peers stood at 93.270 after rallying to 93.457 overnight, its highest since December 22. It was still 0.05 percent higher than Tuesday.
The dollar was trading against the Indian rupee at Rs 68.070, the US currency was available at 3.962 in terms of the Malaysian ringgit and the greenback was at 6.377 in relation to the Chinese yuan.
In the fourth Asian trade, the dollar firmed on Thursday after the euro retreated to a five-month low on concerns political developments in Italy could cause wider disruptions in the euro bloc, while rising US Treasury yields knocked emerging market currencies lower.
The euro was last at $1.1827, up 0.15 percent on the day, after sliding overnight to $1.1763, its lowest since December 18. The common currency has shed nearly 1 percent this week.
Political uncertainties in Italy, where populist parties have jostled to forge a common platform in a bid to lead the next government, have been a major drag on the euro.
The euro slid to the five-month low on reports Italy's anti-establishment 5-Star Movement and anti-immigrant League may ask the European Central Bank to forgive 250 billion euros of debt as the parties worked to draft a coalition programme.
The dollar was trading against the Indian rupee at 67.728, the greenback was at 3.968 in terms of the Malaysian ringgit and the US currency was available at 6.361. Inter bank buy/sell rates for the taka against the dollar on Thursday: 83.60-83.70 (Previous 83.60-83.60).
In the final US trade, the dollar rose to a five-month high against a basket of major currencies on Friday, helped by weakness in the euro as investors fretted about political uncertainty in Italy.
The dollar index has climbed for five straight sessions, posting a 1.2 percent weekly gain. It has risen 5 percent since mid-February, with investors betting US interest rates will need to rise further to curb inflation.
The euro on Friday tracked its fifth successive weekly decline versus the dollar, its first such fall since 2015.Europe's single currency has dropped about seven cents in three weeks amid a sharp dollar rally.