The dollar remained under pressure for most of last week amid increased supply, mainly due to banks selling their forex holdings to stabilise their liquidity levels. Besides, investors also shunned the reserve currency in the wake of the rising equity market.
Nonetheless, the rupee started the week on the interbank market with a loss of nine paisas for buying and 10 paisas for selling, sending the dollar up at Rs102.08 and Rs102.10 in the first trading session against the prior week’s close of Rs101.87 and Rs101.90.
However, the rupee managed to gain 43 paisas for buying and 42 paisas for selling in the second trading session, sending the dollar down to Rs101.65 and Rs101.68. Yet, it shed six paisas for buying and seven paisas for selling in the third trading session, as the greenback rose slightly to Rs101.73 and Rs101.75.
The rupee then picked up 16 paisas for buying and 15 paisas for selling in the fourth trading session, as the dollar dipped to Rs101.57 and Rs101.60. The local currency gained a further 22 paisas in the last trading session, as the dollar closed the week at Rs101.35 and Rs101.38. During the week, the dollar depreciated by around 66 paisas in the interbank market and around 80 paisas in the open market.
