Call rate rises, dollar remains stable
Thursday, 16 October 2008
FE Report
The inter-bank call money rate posted slight rise Wednesday, as liquidity felt some pressure with withdrawal of cash through bills. US dollar, however, maintained a stable nerve against Bangladesh taka (BDT) in the inter-bank foreign exchange market because of sufficient supply of the greenback, fund managers said.
The call rate moved mainly between 6.25 per cent and 11.06 per cent against the previous day's range between 6.00 per cent and 11.00 per cent.
Most transactions were, however, made at rates varying between 7.00 per cent and 8.00 per cent against the previous day's range between 7.00 per cent and 7.50 per cent indicating an almost steady pressure on liquidity.
The borrowing of cash by some banks and financial institutions at high rates from the inter-bank market to meet urgent needs of their clients raised the call rate above the main trend in stray deals, fund managers said.
The central bank withdrew Tk 4.30 billion through reverse repurchase agreement (repo) at an annual interest rate of 6.50 per cent that exerted a nominal pressure on liquidity.
Dollar remained stable against taka in the inter-bank market and the exchange rate of the greenback stood at Tk 68.52 repeating the previous trading day's rate.
The greenback, however, posted gain in public deals and the cash dollar was transacted at rates varying between Tk 67.55 and Tk 70.65 against the previous trading day's range between Tk 67.50 and Tk 70.60.
In the informal market, dollar, was steady and it was traded mainly at rates varying between Tk 70.00 and Tk 70.30 against the previous day's range between Tk 70.10 and Tk 70.30. The informal market experienced a moderate demand for the foreign currency on the day, money dealers said.
The exchange rate of Indian rupee against taka continued to fluctuate between Tk 1.56 and Tk 1.77.
The inter-bank call money rate posted slight rise Wednesday, as liquidity felt some pressure with withdrawal of cash through bills. US dollar, however, maintained a stable nerve against Bangladesh taka (BDT) in the inter-bank foreign exchange market because of sufficient supply of the greenback, fund managers said.
The call rate moved mainly between 6.25 per cent and 11.06 per cent against the previous day's range between 6.00 per cent and 11.00 per cent.
Most transactions were, however, made at rates varying between 7.00 per cent and 8.00 per cent against the previous day's range between 7.00 per cent and 7.50 per cent indicating an almost steady pressure on liquidity.
The borrowing of cash by some banks and financial institutions at high rates from the inter-bank market to meet urgent needs of their clients raised the call rate above the main trend in stray deals, fund managers said.
The central bank withdrew Tk 4.30 billion through reverse repurchase agreement (repo) at an annual interest rate of 6.50 per cent that exerted a nominal pressure on liquidity.
Dollar remained stable against taka in the inter-bank market and the exchange rate of the greenback stood at Tk 68.52 repeating the previous trading day's rate.
The greenback, however, posted gain in public deals and the cash dollar was transacted at rates varying between Tk 67.55 and Tk 70.65 against the previous trading day's range between Tk 67.50 and Tk 70.60.
In the informal market, dollar, was steady and it was traded mainly at rates varying between Tk 70.00 and Tk 70.30 against the previous day's range between Tk 70.10 and Tk 70.30. The informal market experienced a moderate demand for the foreign currency on the day, money dealers said.
The exchange rate of Indian rupee against taka continued to fluctuate between Tk 1.56 and Tk 1.77.