Currency
Nepali rupee, which had managed to make some gains in the previous week, fell against US dollar this week, marching in unison with the Indian currency to which the rupee is pegged.[break]
Nepali rupee shed 82 paisa over the week against the greenback to close at Rs 89.72 on Friday. Nepali rupee weakened this week as the Indian currency fell to a two-week low due to rise in demand for the greenback.
The rupee had started trading this week at Rs 88.90 per dollar when the market opened for the week on Sunday. Although it had shown signs of strengthening, with the currency rising to Rs 88.75 on Monday, it lost 22 paisa the next day to stand at Rs 88.97. The currency continued to take a beating on Wednesday with Nepal Rastra Bank fixing the exchange rate at 89.39. Nepali rupee gained partially on Thursday to touch Rs 89.35 but ended the week at Rs 89.72.
Nepali rupee also weakened against the euro and British pound over the week. Nepali rupee, which was traded with euro at Rs 109.17 on Sunday, shed 97 paisa over the week to close at Rs 110.14 on Friday. The domestic currency also fell against the British pound, losing Rs 2.13 over the week to close at Rs 140.93.
Bullion
Gold became dearer by Rs 255 per 10 grams over the week. Although prices of the precious yellow metal are falling in the international market, the local market could not take advantage of the situation largely because of the weakening of the local currency against the dollar.
Gold, which was traded in the international market at US$1,623 per troy ounce on Sunday, fell to $1,615 per troy ounce on Friday. But the local price of the yellow metal which stood at Rs 49,040 per 10 grams on Sunday rose to Rs 49,295 per 10 grams by the time markets closed for the week on Friday.
The weekly report published by Nepal Gold and Silver Dealers´ Association shows that the price of gold, which perked up to Rs 49,210 per 10 grams on Monday, remained stable till Thursday.
In line with gold price, price of silver also gained over the week. The commodity, which was traded at Rs 879 per 10 grams on Sunday, ended the week at Rs 887.50 per 10 grams on Friday.
Related story
Nepali rupee weakens to a six-month low against US dollar
