Pakistani Rupee Gains Ground Against US Dollar

The Pakistani rupee continued its positive trend against the US dollar, experiencing a 0.06% rise in value during the initial trading hours in the inter-bank market on Tuesday.

As of 10:20am, the rupee’s value stood at 282.28, reflecting an increase of Re0.17.

On the previous day, Monday, the rupee concluded trading at 282.45.

Global Market Overview

On the international stage, the US dollar remained stable on Tuesday, as markets awaited a crucial consumer inflation report expected to influence expectations regarding potential interest rate reductions by the Federal Reserve.

The Australian dollar exhibited steady performance in anticipation of a policy announcement by the Reserve Bank of Australia.

The US dollar index, which evaluates the currency’s strength against six major counterparts, including the euro and the yen, held steady at 98.497 as of 0046 GMT, following a 0.5% gain over the prior two sessions.

Previously, the dollar had declined as traders increased bets on easing, driven by US President Donald Trump’s selection of a dovish-leaning candidate to succeed a Fed governor, along with similarly inclined potential candidates for the chairman position.

Furthermore, Fed officials have expressed growing concerns about the employment landscape, indicating a possible move as early as September.

Cooling inflation figures could solidify expectations for a rate cut next month. However, indications that Trump’s tariffs are contributing to price pressures could prompt the central bank to maintain its current stance.

Currently, traders estimate the likelihood of a quarter-point reduction on September 17 at approximately 89%.

The US dollar increased by 0.1% to reach 148.28 yen on Tuesday. The euro remained unchanged at $1.1615.

Oil Prices Rise

Oil prices, an important indicator of currency parity, increased on Tuesday as the US and China prolonged a suspension of tariff increases. This development alleviated concerns that an escalation of their trade dispute would negatively impact their economies and constrain fuel demand in the world’s leading oil-consuming nations.

Brent crude futures increased by 26 cents, or 0.39%, to settle at $66.89 a barrel by 0015 GMT. Meanwhile, US West Texas Intermediate crude futures gained 22 cents, or 0.34%, to reach $64.18.

This information reflects an intra-day market update.