KARACHI: Rupee gained further on Thursday amid continuous healthy dollar inflows, but dealers said the rupee may ease next week when higher import payments are due.
The rupee closed at 84.85/90 to the dollar, compared with Wednesday's close of 85.10/17.
"At the moment import payments and the related dollar demand is being met very well by the dollar inflows," said a dealer at a foreign bank.
"But from Monday onwards, some bigger import payments are due, which may put some downward pressure on the rupee," he said, but added that healthy dollar inflows would ensure that there is no sharp slide in the rupee's value.
The rupee has been supported in recent months by rising dollar inflows due to higher export proceeds, as well as a record inflow of remittances.
These rising inflows have already pushed the country's foreign exchange reserves to a record $17.95 billion for the week ended on March 26.
Reserves fell to $17.64 billion in the week ended April 2 on scheduled debt payments.
Meanwhile, stocks fell amid lack of trigger, but dealers said activity was likely to pick up next week in anticipation of healthy corporate results soon
The Karachi Stock Exchange's benchmark 100-share index ended 0.71 percent, or 84.33 points, lower at 11,848.84.
Turnover fell to 75.09 million shares from 88.30 million shares traded a day earlier.
"There is not much interest in the market as there is no positive trigger at the moment," said Sajid Bhanji, director at brokers Arif Habib Ltd.
"But soon the corporate result season will start, so we should see activity picking up next week."
In the money market, overnight rates ended unchanged at top level of 13.90 percent in tight liquidity situation and dealers expected the central bank to inject funds into the market soon through an open market operation.
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