Call money rate loses ground, dollar weakens
FE Report | Friday, 27 February 2009
The inter-bank call money rate slightly lost ground Thursday due to injection of fresh cash into the market through repurchase agreement (repo). The US dollar also weakened against Bangladesh taka (BDT) in the inter-bank foreign exchange market that experienced lower demand for the greenback, fund managers said.
The call rate in extreme range fluctuated mainly between 7.50 per cent and 12.0 per cent against previous trading day's range of between 8.0 per cent and 12.0 per cent.
Most deals were, however, made at rates varying between 7.50 per cent and 8.50 per cent against previous day's range of 8.0 per cent and 8.50 per cent indicating lower pressure on liquidity, they said.
The rate, however, moved above main trend with borrowing of cash by some financial institutions from inter-bank market at high rates in stray deals to meet immediate needs of their clients, fund managers said.
The central bank injected fresh cash amounting to Tk 3.25 billion through reverse repo at an interest rate of 8.75 per cent per annum to maintain demand-supply balance in the market.
The dollar gained against taka and the exchange rate of the dollar ranged between Tk 68.90 and Tk 68.91 against previous trading day's rate of between Tk 68.90 and Tk 68.93.
The greenback, however, remained steady in public deals and the cash dollar was transacted at rates varying between Tk 67.80 and Tk 70.85 maintaining previous trading day's range.
In the informal market, the dollar was steady and it was traded mainly at rates varying between Tk 68.20 and Tk 68.50 against previous day's range of between Tk 68.20 and Tk 68.40. The informal market experienced moderate demand for the foreign currency, money dealers said.
The exchange rate of the Indian rupee against the taka fluctuated between Tk 1.3418 and Tk 1.4052.
In the regional market, most currencies were steady. The exchange rate of the dollar against the Indian rupee moved between Rs 49.6750 and Rs 50.3380 and the Pakistani rupee between Rs 79.50 and Rs 80.30. Besides, the exchange rate of the dollar against the Malaysian ringgit varied between 3.6343 ringgit and 3.6825 ringgit and that against the Thai currency between 35.36 baht and 36.1250 baht.
In the international market, the exchange rate of the dollar against the Japanese yen mainly varied between 96.3450 yen and 97.7950 yen, while the euro moved between 1.2989 dollar and 1.3182 dollar against the greenback.
As on February 26, 2009, the London Inter-bank Offered Rates (LIBOR) against the US dollar were 0.47870 per cent for one month, 1.25620 per cent for three months, 1.77250 per cent for six months, 1.92370 per cent for nine months and 2.07370 per cent for twelve months.
The call rate in extreme range fluctuated mainly between 7.50 per cent and 12.0 per cent against previous trading day's range of between 8.0 per cent and 12.0 per cent.
Most deals were, however, made at rates varying between 7.50 per cent and 8.50 per cent against previous day's range of 8.0 per cent and 8.50 per cent indicating lower pressure on liquidity, they said.
The rate, however, moved above main trend with borrowing of cash by some financial institutions from inter-bank market at high rates in stray deals to meet immediate needs of their clients, fund managers said.
The central bank injected fresh cash amounting to Tk 3.25 billion through reverse repo at an interest rate of 8.75 per cent per annum to maintain demand-supply balance in the market.
The dollar gained against taka and the exchange rate of the dollar ranged between Tk 68.90 and Tk 68.91 against previous trading day's rate of between Tk 68.90 and Tk 68.93.
The greenback, however, remained steady in public deals and the cash dollar was transacted at rates varying between Tk 67.80 and Tk 70.85 maintaining previous trading day's range.
In the informal market, the dollar was steady and it was traded mainly at rates varying between Tk 68.20 and Tk 68.50 against previous day's range of between Tk 68.20 and Tk 68.40. The informal market experienced moderate demand for the foreign currency, money dealers said.
The exchange rate of the Indian rupee against the taka fluctuated between Tk 1.3418 and Tk 1.4052.
In the regional market, most currencies were steady. The exchange rate of the dollar against the Indian rupee moved between Rs 49.6750 and Rs 50.3380 and the Pakistani rupee between Rs 79.50 and Rs 80.30. Besides, the exchange rate of the dollar against the Malaysian ringgit varied between 3.6343 ringgit and 3.6825 ringgit and that against the Thai currency between 35.36 baht and 36.1250 baht.
In the international market, the exchange rate of the dollar against the Japanese yen mainly varied between 96.3450 yen and 97.7950 yen, while the euro moved between 1.2989 dollar and 1.3182 dollar against the greenback.
As on February 26, 2009, the London Inter-bank Offered Rates (LIBOR) against the US dollar were 0.47870 per cent for one month, 1.25620 per cent for three months, 1.77250 per cent for six months, 1.92370 per cent for nine months and 2.07370 per cent for twelve months.