Today’s intraday trading saw a further strengthening of the Pakistani Rupee (PKR) against the US Dollar (USD).
It gained 1.36 rupees in today’s interbank market to settle at Rs. 218.75, up 0.62 percent against the USD. During today’s open market session, the local currency was quoted at a day low of Rs. 220.15 against the US dollar.
At 10:03 AM, the local currency was trading at positive levels against the US dollar and was trading in the 218–219 range. The dollar’s value versus the rupee dropped as low as 218.25 around lunchtime. The local currency kept trading at the same level as the top foreign currency after two o’clock in the afternoon before easing to a lower level at the interbank close.
In the wake of the International Monetary Fund’s (IMF) permission to disburse a $1.17 billion tranche for Pakistan, the rupee closed in the green against the US dollar for the second straight day. Along with analysts’ predictions that the PKR will rise to a level of 200–210 in the upcoming several weeks, this helped to boost local unit prices in the markets.
The prognosis for Pakistan’s bond yields is anticipated to improve further with the IMF money. It is anticipated that the nation would begin to receive foreign direct investments through bilateral and multilateral organizations in the next months, which will probably drive the rupee towards a strong upward recovery. However, the harm caused by the nation’s unprecedented flooding may hinder efforts for a full recovery in the short term, and the PKR may experience sporadic declines as a result.
On Wednesday, oil prices fell across the board because of market worries about the weakening status of the world economy, the potential for increases in interest rates by central banks, and stepped-up blockades to stop COVID-19 in China.
While US West Texas Intermediate (WTI) fell below $90 and fell by 3.46 percent to settle at $88.47 per barrel, Brent crude fell by 3.72 percent to $95.62 per barrel.
The market has seesawed even more recently, as evidenced by yesterday’s price swings, which have discouraged hedge funds and speculators and reduced trading since the Russia-Ukraine war started six months ago.
In today’s interbank market, the PKR rose in comparison to the other main currencies. It increased by 37 paisas about the UAE Dirham (AED), 37 paisas about the Saudi Riyal (SAR), Rs. 2.63 about the Canadian Dollar (CAD), and Rs. 3.71 about the British Pound Sterling (GBP).
In today’s interbank currency market, it also gained Rs. 2.08 versus the Euro (EUR) and Rs. 2.49 against the Australian Dollar (AUD).