Call rate, dollar back to old track
Wednesday, 2 January 2008
FE Report
The inter-bank call money rate mostly returned to old track, while the US dollar retained its strength, both maintaining slight upward bias in new year's maiden trading Tuesday, fund managers said.
The cash flow was sufficient to meet the steady demand that kept the call rate confined to the range of between 6.50 per cent and 11.50 per cent ignoring the leakage of Tk 4.35 billion withdrawn through bills and bonds, they said.
The call rate was recorded swinging between 6.50 per cent and 10.50 per cent in previous day's trading. It, however, moved 6.75 per cent and 10.00 per cent in most deals against previous day's 7.00 per cent and 8.00 per cent, they added.
The borrowing of cash by some banks and non-banking financial institutions from the inter-bank market at high rates forced the call rate to rise above normal trend in some stray deals, fund managers said.
The central bank withdrew Tk 4.00 billion on the day conducting auctions of 10-year Bangladesh Government Treasury Bonds at an annual interest rate of 11.74 per cent.
Besides, it held auctions of Bangladesh Bank bills and withdrew Tk 450 million at an interest rate of 7.36 per cent per annum.
The US dollar, on the other hand, gained ground slightly against the Bangladesh taka on the day in the inter-bank foreign exchange market in limited transactions and maintained a single rate, fund managers said.
The exchange rate of the dollar stood at Tk 68.58 against previous day's range of between Tk 68.55 and Tk 68.58.
The greenback, however, sustained its stable level with the cash dollar exchanging at rates fluctuating between Tk 67.42 and Tk 69.75 adhering to previous day's range.
The inter-bank call money rate mostly returned to old track, while the US dollar retained its strength, both maintaining slight upward bias in new year's maiden trading Tuesday, fund managers said.
The cash flow was sufficient to meet the steady demand that kept the call rate confined to the range of between 6.50 per cent and 11.50 per cent ignoring the leakage of Tk 4.35 billion withdrawn through bills and bonds, they said.
The call rate was recorded swinging between 6.50 per cent and 10.50 per cent in previous day's trading. It, however, moved 6.75 per cent and 10.00 per cent in most deals against previous day's 7.00 per cent and 8.00 per cent, they added.
The borrowing of cash by some banks and non-banking financial institutions from the inter-bank market at high rates forced the call rate to rise above normal trend in some stray deals, fund managers said.
The central bank withdrew Tk 4.00 billion on the day conducting auctions of 10-year Bangladesh Government Treasury Bonds at an annual interest rate of 11.74 per cent.
Besides, it held auctions of Bangladesh Bank bills and withdrew Tk 450 million at an interest rate of 7.36 per cent per annum.
The US dollar, on the other hand, gained ground slightly against the Bangladesh taka on the day in the inter-bank foreign exchange market in limited transactions and maintained a single rate, fund managers said.
The exchange rate of the dollar stood at Tk 68.58 against previous day's range of between Tk 68.55 and Tk 68.58.
The greenback, however, sustained its stable level with the cash dollar exchanging at rates fluctuating between Tk 67.42 and Tk 69.75 adhering to previous day's range.