Rupee remains stable against US dollar

The Pakistani rupee remained largely stable against the US dollar in the inter-bank market on Thursday.

At close, the rupee settled at 279.46, a gain of Re0.01 against the greenback.

The rupee had closed at 279.47 on Wednesday.

Internationally, the yen firmed and the US dollar held steady on Thursday as investors pondered what US President Donald Trump’s latest tariff agenda would mean for the global economy and how it could affect the interest rate outlook for major central banks.

Geopolitics also loomed large after Trump referred to Ukrainian President Volodymyr Zelenskiy as a “dictator” amid talks to end the Russia-Ukraine war.

Currency movement was modest in cautious Asian trading save for the yen, which rose to an over two-month top of 150.62 a dollar, helped by flight to safety over worries about the impact of Trump’s tariffs as well as bets of more Bank of Japan hikes this year.

Sterling retreated from a two-month top and last stood at $1.2594.

Against a basket of currencies, the dollar hovered near a one-week top at 107.15.

Minutes of the Federal Open Market Committee’s latest policy meeting released on Wednesday showed Trump’s initial proposals raised concern among Federal Reserve officials about quickening inflation and reinforced their patient approach to rate cuts.

Oil prices, a key indicator of currency parity, were little changed on Thursday after rising to a near one-week high in the previous session, as an industry report showing a buildup in US crude stockpiles weighed on sentiment.

Brent futures were up 20 cents at $76.24 a barrel by 0600 GMT. US West Texas Intermediate crude dropped 30 cents to $71.95.

The March contract expires on Thursday, while the more active April contract rose 21 cents to $72.31.

Inter-bank market rates for dollar on Thursday

BID                            Rs 279.46

OFFER                      Rs 279.66

Open-market movement

In the open market, the PKR lost 5 paise for buying and gained 4 paise for selling against USD, closing at 278.79 and 281.08, respectively.

Against Euro, the PKR gained 21 paise for buying and 17 paise for selling, closing at 290.48 and 293.50, respectively.

Against UAE Dirham, the PKR lost 1 paisa for buying and 2 paise for selling, closing at 76.01 and 76.60, respectively.

Against Saudi Riyal, the PKR lost 1 paisa for buying and 2 paise for selling, closing at 74.29 and 74.85, respectively.

Open-market rates for dollar on Thursday

BID                            Rs 278.79

OFFER                      Rs 281.08