The rupee remained under pressure against the dollar last week in the local currency market as the greenback performed strongly against a host of international currencies.
A strong showing by local stocks at the start of the week also resulted in investors reducing their dollar positions and diverting them towards equities.
On the interbank market, the rupee commenced the week by shedding 32 paisas for buying and 35 paisas for selling, enabling the dollar to climb to Rs101.40 and Rs101.45 from the prior week’s close of Rs101.08 and Rs101.10.
However, the rupee rebound in the second trading session, gaining 25 paisas for buying and 27 paisas for selling to end the day at 101.15 and 101.18. But it fell by five paisas for buying and seven paisas for selling in the third trading session, as the dollar ended the day at Rs101.20 and Rs101.25. The market remained closed on February 5 on account of Kashmir Day.
The rupee then managed to recover seven paisas for buying and 10 paisas for selling in the last trading session, as the greenback closed the week at Rs101.13 and Rs101.15, after reports emerged that the IMF has agreed to issue the loan tranche.
The rupee depreciated by five paisas against the dollar in interbank dealings last week, but remained unchanged in the open market on a net basis
During the week, the dollar appreciated by five paisas against the rupee in the interbank market, and it is also up 33 paisas on a monthly basis.
In the open market, the rupee started the week by gaining 10 paisas, as the dollar slipped to Rs101.40 and Rs101.60, against the prior week’s close of Rs101.50 and Rs101.70. The rupee-dollar parity remained unchanged at this level in the second trading session.
The dollar then recovered 10 paisas in the third trading session to end the day back at Rs101.50 and Rs101.70. When the market opened on Friday, the rupee-dollar remained unchanged at Rs101.50 and Rs101.70 in the last trading session.
As a result, the rupee remained unchanged against the dollar in the open market on a weekly basis. However, the rupee has depreciated by 70 paisas on a monthly basis.
Meanwhile, the rupee continued its recent downtrend against the euro. It commenced the week by losing 25 paisas, pushing the single currency up at Rs114.75 and Rs115.00 against the prior week’s close of Rs114.50 and Rs114.75.
It shed another 25 paisas in the second trading session, sending the euro up at Rs115.00 and Rs115.25. The rupee lost a further 80 paisas in the third trading session, as the euro rose to Rs115.80 and Rs116.05 for the day.
The local currency then ended the week with a further dip of 20 paisas, as the single currency closed the last trading session at Rs116.00 and Rs116.25.
During the week, the euro appreciated by 150 paisas against the rupee. However, it is still down 300 paisas on a monthly basis.