Pakistan rupee extends marginal gain against US dollar

The Pakistani rupee continued its marginal gain against the US dollar in the inter-bank market on Wednesday.

The local unit closed the day at 276.86, a gain of Re0.01 against the greenback.

On Tuesday, the Pakistani had rupee settled at 276.87 against the dollar.

Internationally, the US dollar remained under pressure on Wednesday after slipping to a three-week low in ​the previous session, as a dip in Treasury yields and crude oil prices reduced the currency’s appeal.

The ‌Australian dollar hovered close to a three-week high against the greenback with Reserve Bank of Australia Deputy Governor Andrew Hauser saying at a Citi conference that the inflation outlook looked “materially worse”, leaving him unsure whether the central bank would need to further raise its policy ​interest rate next month.

The Aussie rose 0.1% to $0.7013, just below the previous day’s high of $0.7017.

The US dollar index , ​which measures the currency against six peers, was steady at 101.78 after declining 0.2% on ⁠Tuesday.

China’s yuan traded in a narrow range on Wednesday after briefly hitting its highest in more than four years, supported by robust export growth and a broadly weaker dollar.

The greenback remained subdued after falling to a three-week low in the previous session, with lower Treasury yields and weaker oil prices reducing the currency’s appeal.

The yuan touched 6.6765 per dollar in morning trade, its strongest level since June 28, 2022, before easing slightly to 6.6791 as of 0250 GMT.

Oil prices, a key indicator of currency parity, jumped by ‌more than $2 on Wednesday after Iran said there was little reason to expect diplomatic progress with the US, leaving the Brent benchmark hovering near five-month highs, with further market support from falling US ​crude and product inventories.

Brent crude futures gained $2.06, or 1.9%, to $110.85 a barrel ​by 1048 GMT. US West Texas Intermediate (WTI) crude was up $2.13, or ⁠2.2%, at $99.95.