Decline of the US dollar continued as it shed 0.05 more paisas against the local currency in the currency exchange market on Thursday. The US dollar which remained strong till Tuesday however, lost grounds on consecutive days onwards.   The American currency traded at Rs.85.70 at close of markets today as compared to yesterday’s rate of Rs.85.70. In the international market today, the US currency reached 8 month low versus yen as American’s jobless claims rose unexpectedly last week thus creating doubts in US’s recovery.

In the interbank market today, the US currency was trading at Rs.85.60 for buying and Rs.85.80 for selling.

The cable scored hefty grounds and touched Rs.135 mark amid rise in its demand heavily.  Pound Sterling set off new day’s trading at Rs.133.80, posted major grounds and was trading at Rs.135.00 close of markets on Thursday. Thus, rupee shed Rs.1.20 versus Pound in the kerb. On the international desk today, the cable remained low for the first time in 5 days against the single currency and remained weakened versus the US currency after interest rate was kept at a record low by Bank of England. The Britain’s currency shed 0.2% to 83.16 pence per euro in London. It touched 82.55 pence on August 2, the strongest level since July 5. The British pound shed 0.3% to $1.58334.

Eurozone’s shared currency continued to boost position in the forex rate market today as well. The single currency opened new day’s trading at Rs.111.50, posted more gains amid demand high and was trading at Rs.111.80 at close of markets. Thus, rupee gave up 0.30 paisas more versus Euro in the kerb market. On the international desk, the single currency cut down gain against dollar as US’s stock remained low eroding the appeal of currencies related to economic growth. The euro got strength versus the Brtish currency after Trichet said improvement is being seen in monkey market as the region’s sovereign-debt crisis eases. The single currency scored a gain 0.1% to 82.82 pence. Europe’s shared currency has rallied 10% since reaching a 4 year low against the US dollar on June 7 as investors gained confidence that government austerity measures will help the region weather the debt crisis.

The emirates’ Dirham, shed mere grounds as its demand continued to have dip versus rupee in the currency exchange market on Thursday. The UAE currency was trading at Rs.23.25, as it shed 0.01 today as compared to Rs.23.26 yesterday.