Dollar posts gain, call rate steady

FE Team | Published: October 10, 2007 00:00:00 | Updated: February 01, 2018 00:00:00

FE Report
The US dollar posted slight gain against the Bangladesh taka (BDT) Tuesday in the inter-bank foreign exchange market although the demand for the greenback was stable, fund managers said.
The inter-bank call money rate also remained unchanged despite withdrawal of cash through reverse repurchase agreement (repo).
The exchange rate of the dollar ranged between Tk 68.70 and Tk 68.71 against previous day's range of between Tk 68.68 and Tk 68.71.
The greenback was steady in public deals and the cash dollar was exchanged at rates varying between Tk 67.60 and Tk 69.90 maintaining the previous day's range.
In the informal market, the dollar was steady with upward bias and it was traded at rates varying between Tk 70.60 and Tk 71.10 against the previous day's range of between Tk 70.50 and Tk 71.00. The informal market experienced rising demand for the dollar, money dealers said.
As on October 09, the London Inter-bank Offered Rates (LIBOR) against the US dollar were 5.12000 per cent for one month, 5.25310 per cent for three months, 5.21750 per cent for six months, 4.95120 per cent for nine months and 4.90120 per cent for twelve months.
The inter-bank call money rate was steady in an active market.
The rate in its extreme range moved between 6.50 per cent and 10.00 per cent bending to previous day's range.
In most deals, the rates fluctuated between 6.50 per cent and 6.55 per cent against the previous day's range of between 6.50 per cent and 6.60 per cent, they said.
The call rate rose above normal trend in some stray deals with some non-banking financial institutions borrowing cash from the inter-bank market at high rates to meet urgent demands of their clients, fund managers said.
The call rate moved above the bank rate of 5.00 per cent in all deals that reflected higher than expected pressure on liquidity, fund managers said.
The central bank withdrew Tk 2.97 billion through reverse repo at an interest rate of 6.50 per cent per annum.