The national currency remained unchanged versus dollar in the kerb today

Friday, 19 June 2009 16:53

The national currency remained unchanged versus dollar in the kerb today. The US currency started off new day’s trading at Rs.80/10 and was trading at the same price at close of markets on Friday. Thus, rupee ended the day on a positive versus dollar in the kerb. In the international market the pound may drop to the lowest level in more than a week against the dollar if it closes below its 20-day moving average, Brown Brothers Harriman & Co. said.

Britain’s currency may fall to $1.60, the weakest since June 9, Marc Chandler, global head of currency strategy in New York, said today in an e-mail. The pound slid 1.1 percent to $1.6226 as of 1:16 p.m. in London. It earlier fell through the 20-day moving average of $1.6223.

The worst recession since at least 1979 led Standard & Poor’s to revise its outlook for the U.K. to negative from stable last month, saying a AAA credit rating is incompatible with debt heading for 100 percent of gross domestic product. The Treasury expects to sell an unprecedented 220 billion pounds ($358 billion) of gilts in the year that began in April to revive the economy.

The yen declined as rising stocks spurred investors to seek returns in higher-yielding assets, reducing demand for the Japanese currency as a haven. The yen fell the most against the Australian dollar and South African rand and pared its first weekly advance against the euro in more than a month, after European Union leaders said they saw the first signs of a “sustainable economic recovery” and ruled out further pump-priming measures to halt the worst slump since World War II. The British pound snapped two days.

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