would enable you to enjoy an array of other services such as Member Rankings, User Groups, Own Posts & Profile, Exclusive Research, Live Chat Box etc.. 
Home
The rupee strengthened marginally against the dollar yesterday, which currency dealers said would happen sooner or later, and once the seasonal import demand subsided, exporters converted their dollar holdings and remittances and other inflows improved, the rupee could gain considerably.
The rupee closed the day at Rs. 129.80/130.00 against the greenback, appreciating marginally after starting the day at Rs. 130.00/130.20.
"Importer demand is beginning to ease and exporters are beginning to covert their dollars while remittances too are strong in view of the festive season next month. We believe the depreciation pressure on the rupee would end and the currency would soon appreciate against the dollar, but to what extent we will have to wait and see," a currency dealer said.
Most dealers speaking to The Island Financial Review said they were expecting some appreciation pressure in the near future. "This is bound to happen sooner or later, the trend will reverse," one dealer said.
Exporters had not converted their dollar earnings in the hope of gaining as much as they can on a falling rupee after the Central Bank floated the exchange rate last month. The rupee fell last week to an all time low of Rs. 131.60.
"Just as much as importers panicked when the exchange rate was floated, which hurried the depreciation of the rupee, exporters too are likely to panic when they see the rupee strengthen, and this would lead to a faster appreciation," a dealer said.
Another dealer said the quantum of foreign inflows in coming weeks and months would determine just how far the rupee would gain against the dollar.
Treasury Secretary Dr. P. B. Jayasundera last week said the rupee would settle at around Rs. 125 against the dollar in weeks to come.
The Central Bank is expecting foreign inflows amounting to more than US$ 27 billion this year.
http://www.island.lk/index.php?page_cat=article-details&page=article-details&code_title=48464
The rupee closed the day at Rs. 129.80/130.00 against the greenback, appreciating marginally after starting the day at Rs. 130.00/130.20.
"Importer demand is beginning to ease and exporters are beginning to covert their dollars while remittances too are strong in view of the festive season next month. We believe the depreciation pressure on the rupee would end and the currency would soon appreciate against the dollar, but to what extent we will have to wait and see," a currency dealer said.
Most dealers speaking to The Island Financial Review said they were expecting some appreciation pressure in the near future. "This is bound to happen sooner or later, the trend will reverse," one dealer said.
Exporters had not converted their dollar earnings in the hope of gaining as much as they can on a falling rupee after the Central Bank floated the exchange rate last month. The rupee fell last week to an all time low of Rs. 131.60.
"Just as much as importers panicked when the exchange rate was floated, which hurried the depreciation of the rupee, exporters too are likely to panic when they see the rupee strengthen, and this would lead to a faster appreciation," a dealer said.
Another dealer said the quantum of foreign inflows in coming weeks and months would determine just how far the rupee would gain against the dollar.
Treasury Secretary Dr. P. B. Jayasundera last week said the rupee would settle at around Rs. 125 against the dollar in weeks to come.
The Central Bank is expecting foreign inflows amounting to more than US$ 27 billion this year.
http://www.island.lk/index.php?page_cat=article-details&page=article-details&code_title=48464
