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FOREX KERB WATCH

Comments by OWAIS S. KALIA (Khanani & Kalia)
Updated on  Jul 03, 2000

Comments: In the beginning of this week, Pak Rs jolted heavily against U.S. Dollar when shed around 0.30 Paisa. But recovered later on around 0.25 Pakistan, its position as a heavily indebted country notwithstanding, became the net exporter of the capital to the tune of $-533.8 million on account of the debt owed to world bank and the international monetary fund in 1999-2000, according to an official source. Pak Rs further gained around 0.20 Paisa on Thursday against the U.S. Dollar and maintained a recovery somehow in comparison with the position early this week.

 

RUPEE/US DOLLAR

This Week

Last Week

% Change

Last Year

% Change

54.875 54.875 .1825 53.9 2.5317

 


Comments: In the local market, the British Pound gained around 0.70 against Pak Rs. Pound sterling rose to three week peaks against the U.S. Dollar but weakened slightly against the Euro on Thursday, tracking moves in Euro/Dollar after the federal reserve's decision a day earlier to keep interest rates on hold. Analysts said a mixed bag of British data released earlier in the day had done little to alter market expectations that British interest rates will remain on hold at next week's bank of England monetary policy committee meeting.

RUPEE/POUND STERLING

This Week

Last Week

% Change

Last Year

% Change

82.3 82.3 -.3631 86.2 -6.26

 


Comments: In the local market, Deutsche Mark gained around 0.50 Paisa against Pak Rs. The economical restructuring is on in Germany as Dresner Bank and Commerz Bank are poised to deliver plans for a full-scale merger before the end of July. The uncertainties among both staff and customers are forcing the banks to press ahead as quick as possible. The Germany import price have also risen in May from the previous month and gained 11.7 per cent over 12-month, the federal statistics office has announced.

 

RUPEE/DEUTSCHE MARK

This Week

Last Week

% Change

Last Year

% Change

26.3 26.3 -.2.1395 28.7 -10.847

 


Comments: Brighter corporate sentiment and improving corporate investment plans fin a key bank of Japan survey next week May open the door for the bank of Japan's first interest rate hike in 10 years, perhaps in July. But although markets have recently awakened to the possibility that the central bank May stop pushing interest rates virtually to zero as soon as July 17, there is no consensus among bank of Japan's watchers, an informal survey found on Wednesday.

 

RUPEE/JAPANESE YEN

This Week

Last Week

% Change

Last Year

% Change

.521 .521 2.156 .4515 14.631