Currency: Rupee falls, overnight rates flat
The rupee weakened on Thursday amid increased import payments.
KARACHI:
The rupee weakened on Thursday amid increased import payments.
The rupee closed at 84.35/45 to the dollar, compared with Wednesday’s close of 84.15/25 – the highest close since May 2010.
“There were some payments for oil in the market today,” said a dealer at a foreign bank.
The rupee has gained 1.5 per cent this year after losing 1.53 per cent last year.
Appreciation of the currency has been attributed to a record inflow of remittances, a strong foreign exchange reserves position, healthy exports and a current account surplus.
In the money market, overnight rates were unchanged at 11 per cent from the previous day’s close.
According to dealers, outflows amounting to Rs32.5 billion are scheduled for Friday.
Published in The Express Tribune, April 15th, 2011.
The rupee weakened on Thursday amid increased import payments.
The rupee closed at 84.35/45 to the dollar, compared with Wednesday’s close of 84.15/25 – the highest close since May 2010.
“There were some payments for oil in the market today,” said a dealer at a foreign bank.
The rupee has gained 1.5 per cent this year after losing 1.53 per cent last year.
Appreciation of the currency has been attributed to a record inflow of remittances, a strong foreign exchange reserves position, healthy exports and a current account surplus.
In the money market, overnight rates were unchanged at 11 per cent from the previous day’s close.
According to dealers, outflows amounting to Rs32.5 billion are scheduled for Friday.
Published in The Express Tribune, April 15th, 2011.