Call rate loses ground, dollar stable
Monday, 19 May 2008
FE Report
The inter-bank call money rate slightly lost ground Sunday due to injection of large amount of cash into the market. The US dollar, however, appeared stable against Bangladesh taka (BDT) in inter-bank foreign exchange market because of moderate demand for the greenback, fund managers said.
The call rate in extreme range fluctuated between 7.50 per cent and 20.00 per cent against previous day's range of between 8.00 per cent and 20.00 per cent.
In most deals, the rate, however, moved between 9.00 per cent and 14.00 per cent against previous day's range of between 10.00 per cent and 15.00 per cent reflecting easing pressure on liquidity.
Several banks and financial institutions had to borrow cash at high rates from the inter-bank market to meet immediate requirements of their clients. It raised the call rate above the normal level in stray, sources said.
The central bank injected Tk 21.52 billion, including Tk 17.255 billion devolved to primary dealers as liquidity support, conducting repurchase agreement auctions at an annual interest rate of 8.50 per cent. It caused slight improvement in liquidity position, they said.
The dollar maintained its stable level against taka in the inter-bank foreign exchange market, as the market was moderately active due to weekend in the international market, fund managers said.
The exchange rate of the dollar stood at Tk 68.58 repeating previous trading day's rate in the inter-bank market.
The dollar was mostly steady in public deals and the cash dollar was transacted at rates varying between Tk 67.25 and Tk 69.90 against previous day's range of between Tk 67.25 and Tk 69.94.
In the informal market, the dollar weakened and it was traded at rates varying between Tk 69.20 and Tk 6.80 against previous day's range of between Tk 69.70 and Tk 70.00. The informal market experienced moderate demand for the foreign currency on the day, money dealers said.
The exchange rate of the Indian rupee against the taka fluctuated between Tk 1.56 and Tk 1.77.
In the regional market, most currencies weakened. The exchange rate of the dollar against the Indian rupee moved between Rs 42.53 and Rs 42.61 and the Pakistani rupee between Rs 69.13 and Rs 69.14. Besides, the exchange rate of the dollar against the Malaysian ringgit varied between 3.2285 ringgit and 3.2290 ringgit and that against the Thai currency between 32.29 baht and 32.34 baht.
In the international market, the exchange rate of the dollar against the Japanese yen mainly varied between 104.23 yen and 104.26 yen, while the euro moved between 1.5576 dollar and 1.5579 dollar against the greenback.
The inter-bank call money rate slightly lost ground Sunday due to injection of large amount of cash into the market. The US dollar, however, appeared stable against Bangladesh taka (BDT) in inter-bank foreign exchange market because of moderate demand for the greenback, fund managers said.
The call rate in extreme range fluctuated between 7.50 per cent and 20.00 per cent against previous day's range of between 8.00 per cent and 20.00 per cent.
In most deals, the rate, however, moved between 9.00 per cent and 14.00 per cent against previous day's range of between 10.00 per cent and 15.00 per cent reflecting easing pressure on liquidity.
Several banks and financial institutions had to borrow cash at high rates from the inter-bank market to meet immediate requirements of their clients. It raised the call rate above the normal level in stray, sources said.
The central bank injected Tk 21.52 billion, including Tk 17.255 billion devolved to primary dealers as liquidity support, conducting repurchase agreement auctions at an annual interest rate of 8.50 per cent. It caused slight improvement in liquidity position, they said.
The dollar maintained its stable level against taka in the inter-bank foreign exchange market, as the market was moderately active due to weekend in the international market, fund managers said.
The exchange rate of the dollar stood at Tk 68.58 repeating previous trading day's rate in the inter-bank market.
The dollar was mostly steady in public deals and the cash dollar was transacted at rates varying between Tk 67.25 and Tk 69.90 against previous day's range of between Tk 67.25 and Tk 69.94.
In the informal market, the dollar weakened and it was traded at rates varying between Tk 69.20 and Tk 6.80 against previous day's range of between Tk 69.70 and Tk 70.00. The informal market experienced moderate demand for the foreign currency on the day, money dealers said.
The exchange rate of the Indian rupee against the taka fluctuated between Tk 1.56 and Tk 1.77.
In the regional market, most currencies weakened. The exchange rate of the dollar against the Indian rupee moved between Rs 42.53 and Rs 42.61 and the Pakistani rupee between Rs 69.13 and Rs 69.14. Besides, the exchange rate of the dollar against the Malaysian ringgit varied between 3.2285 ringgit and 3.2290 ringgit and that against the Thai currency between 32.29 baht and 32.34 baht.
In the international market, the exchange rate of the dollar against the Japanese yen mainly varied between 104.23 yen and 104.26 yen, while the euro moved between 1.5576 dollar and 1.5579 dollar against the greenback.