Rupee sees slight improvement against US dollar

Rupee's Performance Against US Dollar Since 04 March 2025

The Pakistani rupee saw slight gain against the US dollar in the inter-bank market on Monday.

At close, the currency settled at 281.25, a gain of Re0.01 against the greenback.

During the previous week, the Pakistan rupee posted marginal gain as it appreciated by Re0.11 or 0.04% against the US dollar in the inter-bank market. The local unit closed at 281.26, against 281.37 it had closed the week earlier against the greenback, according to the State Bank of Pakistan (SBP).

Internationally, the yen tumbled against the US dollar by the most in five months in early Monday trading after Sanae Takaichi won the LDP leadership election over the weekend. This set the country on course for more expansionary fiscal policy and complicated the task facing the Bank of Japan.

The yen sank 1.6% to 149.81 yen on the US dollar, its biggest one-day slide since May 12, wiping out gains it made in the past week as markets resumed trading in Asia.

With many markets in Asia closed for holidays, the dollar index was last down 0.1% at 98.029, extending recent losses.

The dollar has weakened steadily against its major peers this year as traders attempt to gauge the economic impact of US President Donald Trump’s policies and attacks on the independence of the Federal Reserve.

Market activity signals that easing at the Fed’s October meeting is a near-certainty, with Fed funds futures implying a 94.6% probability of a 25-basis-point rate cut, according to the CME Group’s FedWatch tool.

Speculators are also pricing a 70% chance that the government shutdown lasts beyond October 15, according to contracts on the betting website Polymarket.

Oil prices, a key indicator of currency parity, rose by about 1% on Monday after OPEC+’s planned production increase for November was more modest than expected, tempering some concerns about supply additions, though a soft outlook for demand is likely to cap near-term gains.

Brent crude futures climbed 71 cents, or 1.1%, to $65.24 a barrel by 1316 GMT, while US West Texas Intermediate crude was at $61.47, up 59 cents, or 1%.

Inter-bank market rates for dollar on Monday

BID                            Rs 281.25

OFFER                      Rs 281.45

Open-market movement

In the open market, the PKR lost 2 paise for buying and remained unchanged for selling against USD, closing at 281.85 and 282.30, respectively.

Against Euro, the PKR gained 1.02 rupee for buying and 66 paise for selling, closing at 329.21 and 332.86, respectively.

Against UAE Dirham, the PKR gained 5 paise for buying and 6 paise for selling, closing at 76.76 and 77.50, respectively.

Against Saudi Riyal, the PKR remained unchanged for buying and gained 2 paise for selling, closing at 75.02 and 75.65, respectively.

Open-market rates for dollar on Monday

BID                            Rs 281.85

OFFER                      Rs 282.30