Currency: Rupee eases, overnight rates decline

KARACHI: The rupee eased to 85.92/98 to the dollar from the close of 85.90/95 a day earlier, thanks to steady dollar demand from importers.

The rupee hit a record low of 86.5 last week and dealers said the local unit may face pressure in days ahead amid increased demand for dollar for import payments and a bleak outlook.

The rupee has lost more than 1.5 per cent of its value since then, almost the same as its total loss of 1.53 per cent in 2010.

In the money market, overnight rates ended at 11.90 per cent, compared with the previous day’s close of between 13.75 and 13.9 per cent.

Published in The Express Tribune, June 2^nd, 2011.