News
Saturday, May 10, 2008
Rupee touches 71/dollar in early trading
KARACHI: The rupee slumped 3.5 percent against the dollar on Friday, closing at Rs 65 for buying and Rs 67 for selling in the interbank market, after having touched Rs 71 in early trading. A foreign exchange dealer said that the open market had the dollar at Rs 67.5 for buying and Rs 68 for selling. According to Reuters, the heavy decline — the rupee has fallen 12.7 percent against the dollar since the start of the year — can be attributed to pressure from rising oil prices and fears that Pakistan is mired in political and economic instability. A banker said that only the State Bank of Pakistan could alleviate the situation.n. Meanwhile, moneychangers selling foreign currency to ordinary people said their supplies were running dry. “There is very little supply of dollars now,” said one Karachi-based moneychanger. “People have been coming and buying dollars as if they’re for free.” staff report/reuters
Courtesy Daily Times