Rupee inches up

Published April 23, 2008

KARACHI, April 22: The rupee inched up on Tuesday following some dollar inflows in the market but dealers said persistent demand for the US currency could mean that the rupee’s gains are short-lived.

The rupee closed at 63.98/64.03 to the dollar, up from Monday’s close of 64.05/64.10. During the day, it traded as low as 64.10 and as high as 63.70, dealers said.

“We have seen some strong inflows over the last couple of days, which have helped the rupee hold steady,” said a dealer at a foreign bank.

However, dealers said continued high dollar demand could push the rupee lower.

“There have been inflows of over $200m in the last couple of days, but the demand is so heavy that the rupee has not gained much,” said another dealer.

“I don’t think these strong inflows will continue for long, while the demand is likely to continue, and that would put pressure on the rupee,” he said.Some dealers said the demand for the dollar from importers and a lack of inflows could pull the currency down to its life-time low of 64.40 traded in September 2001 or even lower.

The rupee has already lost more than 2 per cent this month, and nearly 4 per cent this year.

In the money market, overnight call rates ended at 10.40 per cent, unchanged from Monday.—Reuters

Opinion

Editorial

Poll petitions’ delay
Updated 06 Jan, 2025

Poll petitions’ delay

THOUGH electoral transparency and justice are essential for the health of any democracy, the relevant quarters in...
Migration racket
06 Jan, 2025

Migration racket

A KEY part of dismantling human smuggling and illegal migration rackets in the country — along with busting the...
Power planning
06 Jan, 2025

Power planning

THE National Electric Power Regulatory Authority, the power sector regulator, has rightly blamed poor planning for...
Confused state
Updated 05 Jan, 2025

Confused state

WHEN it comes to combatting violent terrorism, the state’s efforts seem to be suffering from a lack of focus. The...
Born into hunger
05 Jan, 2025

Born into hunger

OVER 18.2 million children — 35 every minute — were born into hunger in 2024, with Pakistan accounting for 1.4m...
Tourism triumph
05 Jan, 2025

Tourism triumph

THE inclusion of Gilgit-Baltistan in CNN’s list of top 25 destinations to visit in 2025 is a proud moment for...