Rupee's Performance Against US Dollar Since 04 March 2025
The Pakistani rupee improved against the US dollar, appreciating 0.01% in the inter-bank market on Friday.
At close, the currency settled at 281.17, a gain of Re0.03 against the greenback.
On Thursday, the local unit closed at 281.20.
Finance Minister Muhammad Aurangzeb said Pakistan had held “very constructive engagement” with the International Monetary Fund (IMF) mission, expressing confidence that the remaining issues were not “showstoppers”. He expressed hope of finalising a staff-level agreement (SLA) early next week during his visit to Washington with the State Bank of Pakistan (SBP) governor and finance secretary.
Internationally, the Japanese yen was set for its steepest weekly drop in a year on Friday, as investors fretted about the fast-receding chances of another rate hike this year. Comments from Japan’s likely next prime minister failed to soothe market jitters.
The yen was last steady at 153.12 per US dollar in early Asian hours, hovering near its weakest level since mid-February. The Japanese currency is on pace for a nearly 4% drop in the week, its biggest decline since early October last year.
The yen’s drastic drop has been centred on worries that the Bank of Japan may not hike interest rates again this year after fiscal dove Sanae Takaichi’s surprise victory, stoking worries of Japanese authorities needing to step in.
The euro last fetched $1.15635, anchored near two-month lows hit on Thursday and on pace for a 1.5% drop for the week, its sharpest decline in 11 months as the political turmoil in France weighed on the single currency.
That has left the dollar upbeat, with the dollar index, which measures the US currency against six other units, at 99.4, near a two-month high. The index is on course for a 1.7% gain, its biggest jump in a year.
According to the CME Group’s Fedwatch Tool, traders are pricing in a 95% chance that the Federal Reserve cuts rates by 25 bps at its October meeting. In the past week, the odds of an additional cut in December have dropped to 80% from 90%.
Oil prices, a key indicator of currency parity, declined to multi-month lows on Friday as the market’s risk premium faded after Israel and Hamas agreed to the first phase of a plan to end the war in Gaza.
Brent crude futures were down $1.73, or 2.7%, at $63.49 a barrel at 1316 GMT. Earlier, they fell to $63.27, the lowest since early June.
Inter-bank market rates for dollar on Friday
BID Rs 281.17
OFFER Rs 281.37
Open-market movement
In the open market, the PKR gained 1 paisa for buying and 5 paise for selling against USD, closing at 281.70 and 282.20, respectively.
Against Euro, the PKR gained 1.70 rupee for buying and 1.32 rupee for selling, closing at 325.74 and 329.40, respectively.
Against UAE Dirham, the PKR remained unchanged for buying and gained 1 paisa for selling, closing at 76.80 and 77.52, respectively.
Against Saudi Riyal, the PKR gained 1 paisa for both buying and selling, closing at 75.04 and 75.63, respectively.
Open-market rates for dollar on Friday
BID Rs 281.70
OFFER Rs 282.20
Comments
Comments are closed for this article.