KARACHI (August 06 2008): Strong demand for dollars, forced the rupee slide further against dollar in the interbank market on Tuesday, down sharply by 35 paisa for buying and selling at 72.25 and 72.30 in process of trading, dealers said.
In fact it was not unusual as trade deficit is widening due to huge gap between import and export, the country paying very big amount in foreign exchange and this factor is causing dearth of dollar, they said. On the other hand, uncertainty on both the political and economic fronts is also dragging the rupee down versus the greenback, they added.
In the second Asian trade dollar rose to a seven-week high against a basket of major currencies, drawing support from a sharp drop in oil and commodity prices that hit the Australian dollar.
OPEN MARKET RATES: The rupee was unmoved against dollar for buying at 72.40 while it shed 10 paisa for selling at 72.80, they added. The rupee, however, gave up its weakness in relation to the euro, rising by 15 paisa for buying at Rs 112.25 and it also gained 10 paisa for selling at Rs 112.40, they said.
Interbank Closing Rates: Interbank Closing Rates For Dollar On Tuesday.
RUPEE IN LAHORE: The rupee declined by 10 paisa in relation to dollar on Lahore currency market on Tuesday. Dollar was traded at Rs 72.50 and Rs 72.80 on buying and selling sides against Monday’s closing of Rs 72.40 and Rs 72.70, respectively.
However, the rupee took U-turn and showed recovery against pound sterling. The pound slipped to Rs 141.50 and Rs 142.70 as compared to overnight closing of Rs 142.50 and Rs 143.50, on buying and selling counters, respectively.
RUPEE IN ISLAMABAD AND RAWALPINDI: The rupee remained firm against dollar at the currency markets of Islamabad and Rawalpindi on Tuesday. The dollar opened at Rs 72.50 (buying) and Rs 73 (selling) against same last rate. It did not observe further change in the second spell and closed at Rs 72.50 (buying) and Rs 73 (selling). Pound sterling opened at Rs 142.50 (buying) and Rs 143.50 (selling) against same last rate. It did not observe further change in the evening session and closed at Rs 142.50 (buying) and Rs 143.50 (selling).
Courtesy: Business Recorder, 6/8/2008