Inter-bank: rupee registers back-to-back gains against US dollar

The Pakistani rupee recorded back-to-back gains against the US dollar as it appreciated 0.05% in the inter-bank market on Wednesday.

As per the State Bank of Pakistan (SBP), the rupee settled at 285.39, an increase of Re0.13.

On Tuesday, the rupee registered a marginal gain to settle at 285.52 against the US dollar.

In a key development, the National Accounts Committee (NAC) revised the GDP growth rate downward for fiscal year 2022-23 to -0.17%, which was provisionally estimated at 0.29%.

The committee chaired by the secretary Ministry of Planning, Development and Special Initiatives also approved the introduction of Quarterly National Accounts in the statistical system of the country.

The GDP estimates have been released to meet the IMF structural benchmark under a tight deadline and are based on available information and data.

Internationally, the US dollar fell broadly on Wednesday to hit its lowest against the yen in more than two months and languished near a three-month trough against its major peers, as expectations mount the Federal Reserve could begin lowering rates by early next year.

The greenback tumbled to 147.02 yen and pushed the euro back above $1.10 to last trade at $1.10025, after Fed Governor Christopher Waller - a known hawkish and influential voice at the central bank - on Tuesday flagged a possible rate cut in the months ahead.

Market pricing currently shows a 40% chance the Fed could begin easing monetary policy as early as next March, as compared to a roughly 22% chance a day ago, according to the CME FedWatch tool.

Against a basket of currencies, the greenback slid to a more than three-month low of 102.60. The dollar index was eyeing a nearly 4% loss for November, its worst monthly performance in a year.

Oil prices, a key indicator of currency parity, edged higher on Wednesday as investors turned cautious ahead of a crucial OPEC+ meeting to decide output policy in the coming months, while a supply disruption caused by a storm in the Black Sea provided a lift for prices.

Brent crude futures climbed 3 cents to $81.71 a barrel at 0625 GMT. US West Texas Intermediate (WTI) crude futures gained 17 cents, or 0.2%, at $76.58 a barrel.

Inter-bank market rates for dollar on Wednesday

BID Rs 285.40

OFFER Rs 285.60

Open-market movement

In the open market, the PKR remained unchanged for both buying and selling against USD, closing at 284.00 and 287.00, respectively.

Against Euro, the PKR remained unchanged for both buying and selling, closing at 310.00 and 313.00, respectively.

Against UAE Dirham, the PKR remained unchanged for both buying and selling, closing at 77.80 and 78.50, respectively.

Against Saudi Riyal, the PKR remained unchanged for both buying and selling, closing at 76.00 and 76.70, respectively.

Open-market rates for dollar on Wednesday

BID Rs 284.00

OFFER Rs 287.00