Pakistani Rupee’s Slight Gain Against US Dollar

On Friday, the Pakistani rupee saw a slight increase against the US dollar, appreciating by 0.03% in the interbank market.

The local currency concluded the day at Rs280.97 against the dollar, reflecting a gain of Re0.10 compared to the previous day’s closing.

Previously, on Thursday, the rupee had declined by 0.04%, reaching a 15-month low of Rs281.07 in the interbank market.

Global Market Influences

The US dollar edged upwards on Friday in international markets, recovering from minor losses the previous day. This movement occurred as traders evaluated the U.S. economic future amid fluctuating statements regarding trade agreements and Federal Reserve policies.

This week, the U.S. currency has experienced significant volatility, beginning with a 1% drop against major currencies on Monday after indications of potential changes of Fed Chair. However, it then surged by 1.5% the following day amid speculation about de-escalation in the U.S.-China trade conflict.

However, the dollar weakened later in the week due to the absence of tangible progress in commencing discussions with Beijing. The dollar index is currently on track for a modest 0.27% rise for the week, potentially ending a sequence of four weeks of declines.

Clarity on the existing state of affairs with China remains elusive for investors. Despite Trump’s claims of ongoing direct negotiations, Beijing stated on Thursday that it has not engaged in trade talks with Washington.

Oil Price Trends

Oil prices increased for the second consecutive session on Friday, bolstered by potential easing of US-China trade tensions. However, the market is set for a weekly decline of around 2% due to concerns regarding oversupply.

Brent crude futures increased by 31 cents to $66.85 a barrel, marking a 1.7% decrease for the week.

US West Texas Intermediate (WTI) crude saw a rise of 35 cents to $63.12 a barrel, reflecting a 2.4% decrease for the week.

According to LSEG senior analyst Anh Pham, “Oil prices are slightly up today as the market reacts to indications of reduced tensions surrounding tariffs and a possible change in the Fed’s policy stance, supporting a wider market recovery.”

Inter-bank Market Rates
Dollar Rates on Friday
  • BID: Rs 280.97
  • OFFER: Rs 281.17

Open Market Update

In the open market, the PKR experienced a loss of 1 paisa for buying and 14 paise for selling against the USD, with closing rates at Rs 280.89 and Rs 282.72, respectively.

Against the Euro, the PKR strengthened by 1.10 rupee for buying and 99 paise for selling, closing at Rs 317.60 and Rs 320.85, respectively.

The PKR also gained 1 paisa against the UAE Dirham for both buying and selling, with closing rates at Rs 76.37 and Rs 77.10, respectively.

Conversely, the PKR depreciated against the Saudi Riyal by 3 paise for buying and 4 paise for selling, closing at Rs 75.04 and Rs 75.76, respectively.

Open-market Rates
Dollar Rates on Friday
  • BID: Rs 280.89
  • OFFER: Rs 282.72