KEY POINTS
- Rupee settles at 280.51 against the US dollar in interbank market, gaining Rs 0.01
- In open market dollar closes at Rs 280.60, up slightly
- Dollar weakens on global expectations of US rate cut
- Yen and euro strengthen amid hawkish BoJ comments and market sentiment
ISLAMABAD: The Pakistani rupee posted a marginal gain against the US dollar in Monday’s interbank market, according to data released by the State Bank of Pakistan (SBP).
The local currency closed at Rs 280.51 against the greenback, up Rs 0.01 from the previous session.
According to the SBP, the rupee had already registered modest gains last week, rising by Rs 0.10 or 0.04 per cent in the interbank market.
Similarly, in the open market, the rupee edged higher, closing at Rs 280.60, reported the Exchange Companies Association of Pakistan (ECAP), reflecting improved liquidity and demand for dollars.
International factors influenced local trends. The Japanese yen strengthened to 155.49 per dollar after Bank of Japan Governor Kazuo Ueda indicated a possible near-term rate hike.
The euro traded at $1.1605, while sterling was last quoted at $1.3239. The US dollar index fell 0.05% to 99.39, after dropping 0.7% last week, as investors anticipated a potential US interest rate cut later this month.
Oil prices also impacted the currency dynamics. Brent crude advanced $1.22, or 1.96%, to $63.60 a barrel, while US West Texas Intermediate crude gained $1.22, or 2.08%, to $59.77.
Supply concerns were driven by OPEC+ output decisions, disruptions in the Caspian Pipeline Consortium, and geopolitical tensions involving Venezuela.
