Pakistan rupee posts marginal gain against US dollar
- Currency settles at 280.45 against greenback
Rupee's Performance Against US Dollar Since 04 March 2025
----------The Pakistani rupee recorded marginal gain against the US dollar in the inter-bank market on Thursday.
At close, the local currency settled at 280.45, a gain of Re0.01 against the greenback.
On Wednesday, the local unit closed at 280.46.
Internationally, the US dollar was soft on Thursday after lacklustre economic data cemented the case for a rate cut from the Federal Reserve next week, providing relief to the yen and pushing the euro to its highest level in nearly seven weeks.
Investors have also been weighing the prospect of White House economic adviser Kevin Hassett taking over as Fed Chair after Jerome Powell’s term ends in May. He is expected to push for more rate cuts.
US President Donald Trump said this week he will unveil his pick to succeed Powell early next year, extending a months-long selection process despite previously claiming he had already decided on a candidate.
A move to appoint Hassett could pressure the dollar, analysts have said, with bond investors expressing concerns to the US Treasury that Hassett could aggressively cut rates to align with Trump’s preferences, the Financial Times reported.
Traders are pricing in an 89% chance of a quarter-point rate cut next week, CME FedWatch showed, with an expected 89 basis points of easing by the end of next year. Analysts are sceptical about how long and deep the easing cycle would be.
Oil prices, a key indicator of currency parity, were steady on Thursday, with the market focused on Ukraine’s attacks on Russian oil assets, while stalled peace talks tempered expectations of a deal restoring Russian oil flows.
Brent crude rose 35 cents, or 0.6%, to $63.02 at 1326 GMT, while US West Texas Intermediate rose 41 cents, or 0.7%, to $59.36.
Inter-bank market rates for dollar on Thursday
BID Rs 280.45
OFFER Rs 280.65
Open-market movement
In the open market, the PKR lost 1 paisa for buying and remained unchanged for selling against USD, closing at 281.03 and 281.50, respectively.
Against Euro, the PKR lost 56 paise for buying and 75 paise for selling, closing at 327.06 and 330.01, respectively.
Against UAE Dirham, the PKR gained 2 paise for buying and remained unchanged for selling, closing at 76.54 and 77.35, respectively.
Against Saudi Riyal, the PKR remained unchanged for buying and gained 4 paise for selling, closing at 74.82 and 75.44, respectively.
Open-market rates for dollar on Thursday
BID Rs 281.03
OFFER Rs 281.50
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