The rupee retained present levels against the dollar on rising demand for the US currency during the week, ended on September 8, 2018. The rupee managed to hold present levels against the dollar for buying and selling at Rs 124.24 and Rs 124.25.
OPEN MARKET RATES: INTER-BANK MARKET RATES: The rupee did not show any change in terms of the dollar for buying and selling at Rs 124.00 and Rs 124.50. The rupee fell slightly in relation to the euro for buying and selling at Rs 142.80 and Rs 144.05.
Marketmen said that the dollar showed firmness versus the rupee due to sustained demand from buyers. They also said that the rupee may now fluctuate sharply against the dollar in days to come. Commenting on the performance of the other regional currencies, some dealers said that the Indian rupee breached the Rs 72 to the dollar mark for the first time last week, extending losses as a rout in emerging markets kept investors on edge.
The Indian rupee fell to a record low of 72.11 to the dollar at one point, but pared the day's losses after mild selling of dollars likely by the Reserve Bank of India. The rupee has fallen nearly 2 percent this month and more than 12 percent this year, making it Asia's worst performing currency, dealers said.
INTER-BANK MARKET RATES: On Monday, the rupee gained four paisas in relation to the US currency for buying and selling at Rs 124.19 and Rs 124.21. On Tuesday, the rupee shed five paisas in relation to the US currency for buying and selling at Rs 124.24 and Rs 124.26.
On Wednesday, the rupee showed no change in relation to the US currency for buying and selling at Rs 124.25 and Rs 124.26. On Thursday, the rupee managed to hold overnight levels versus the US currency for buying and selling at Rs 124.24 and Rs 124.25. On Friday, the rupee was almost unchanged versus the US currency for buying and selling at Rs 124.24 and Rs 124.25.
OPEN MARKET RATES: On September 3, the rupee fell by 30 paisas in terms of the dollar for buying at Rs 124.00 while it did not show any change for selling at Rs 124.50. The rupee also lost 75 paisas in relation to the euro for buying and selling at Rs 142.50 while it picked up 25 paisas for selling at Rs 144.00.
On September 4, the rupee slid by 20 paisas in terms of the dollar for buying at Rs 124.20 while it lost 70 paisas for selling at Rs 125.20. The rupee also fell by 25 paisas in relation to the euro for buying and selling at Rs 142.75 and Rs 144.25. On September 5, the rupee recovered overnight losses after gaining 20 paisas in terms of the dollar for buying and selling at Rs 124.00 and Rs 125.00. The rupee also fell by 25 paisas in relation to the euro for buying and selling at Rs 143.00 and Rs 145.00.
On September 6, the rupee shed 20 paisas in terms of the dollar for buying Rs 124.20, the local currency, however, gained 40 paisas for selling at Rs 124.60. The rupee continued decline in relation to the euro, sliding 80 paisas for buying and selling at Rs 143.80 and Rs 145.80. On September 7, the rupee picked up 20 paisas in terms of the dollar for buying and selling at Rs 124.00 and Rs 124.40. The rupee also rose in relation to the euro, gaining 30 paisas for buying Rs 143.50 and it rose by 80 paisas for selling at Rs 145.00.
On September 8, the rupee was unmoved in terms of the dollar for buying at Rs 124.00 while it dropped by 10 paisas for selling at Rs 124.50. The rupee gained 70 paisas in relation to the euro for buying Rs 142.80 and it also rose by 95 paisas for selling at Rs 144.05.
OVERSEAS OUTLOOK FOR DOLLAR: In the first Asian trade, the dollar held firm on Monday, benefiting from its status as a safe haven as investors took the impasse in US-Canada trade negotiations as a bad sign for the even trickier talks between the United States and China.
The dollar index against a basket of six currencies inched a tad higher to 95.163 as of 0325 GMT on Monday, building on gains made during the past two sessions. Trump on Friday had notified Congress of his intent to sign a bilateral deal with Mexico after talks between Washington and Ottawa soured. The dollar was trading against the Indian rupee at Rs 70.785, the US currency was available at 4.122 in relation to the Malaysian ringgit and the greenback was at 6.836 versus the Chinese yuan.
Inter bank buy/sell rates for the taka against the dollar on Monday: 83.75-83.75 (Previous 83.75-83.75). In the second Asian trade, the dollar firmed on Tuesday as investors bid up safe haven assets amid tensions around global trade and strains in emerging market currencies, while the Australian dollar pared losses after Australia's central bank kept interest rates on hold.
The dollar was trading against the Indian rupee at Rs 71.170, the greenback was at 4.134 in terms of the Malaysian ringgit and the US currency was available at 6.822 in relation to the Chinese yuan. Inter bank buy/sell rates for the taka against the dollar on Tuesday: 83.75-83.75 (Previous 83.75-83.75). In the third Asian trade, the US dollar edged lower against a basket of currencies on Wednesday, and an Australian dollar that had been languishing at its weakest levels since mid-2016 gained after Australia posted its best economic growth in six years.
Still, the dollar index, which measures the US unit against a basket of six currencies, was down 0.1 percent at 95.337 as of 0317 GMT, not far off a two-week high of 95.737 reached during the previous session. The dollar was trading against the Indian rupee at Rs 71.765, the greenback was at 4.143 in terms of the Malaysian ringgit and the US currency was at 4.137 versus the Malaysian ringgit and the greenback was at 6.842 in relation to the Chinese yuan. Inter bank buy/sell rates for the taka against the dollar on Wednesday: 83.75-83.75 (Previous 83.75-83.75).
In the fourth Asian trade, the dollar sagged on Thursday as the pound led a bounce in European currencies, although skittish emerging market currencies and global trade concerns limited the greenback's losses. The dollar index against a basket of six major currencies stood at 95.009, down 0.2 percent. It shed nearly 0.3 percent overnight, nudging away from a two-week high.
The dollar was trading against the Indian rupee at Rs 71.895, the greenback was at 4.146 in terms of the Malaysian ringgit and the US currency was available at 6.837 versus the Chinese yuan. The dollar eased against the yen on Friday after a report suggested that Japan would be the next country with which US President Donald Trump will take up trade issues.
The US currency held in relatively tight ranges against other major peers such as the euro and pound, with the market bracing for the highly anticipated US jobs report due later in the session. According to CNBC television, President Trump hinted to a Wall Street Journal columnist that he might next take up trade issues with Japan.
The US president has already challenged China, Mexico, Canada and the European Union on trade issues. He has repeatedly accused other countries of devaluing their currencies and putting the United States at a disadvantage. The dollar extended overnight losses and last traded at 110.57 yen for a loss of 0.17 percent.
The dollar was available against the Indian rupee at Rs 71.740, the greenback was at 4.143 versus the Malaysian ringgit and the US currency was trading at 6.842 in terms of the Chinese yuan. In the final US trade, the US dollar rose broadly on Friday as US job growth surged in August, but investors remained jittery about a possible escalation of the US-Chinese trade conflict as US President Donald Trump threatened China with more tariffs.
US job growth accelerated in August and wages increased the most annually in more than nine years, the US Labour Department reported, offering the clearest signs yet that the economy has so far weathered the Trump administration's escalating trade war with China. The Federal Reserve should keep raising US interest rates in light of Friday's strong jobs report, Dallas Fed President Robert Kaplan said on Friday. The euro was 0.5 percent lower against the greenback, while the dollar rose 0.29 percent against the Japanese yen.