Pakistani Rupee Strengthens Slightly Against US Dollar

During Thursday’s initial trading hours, the Pakistani rupee saw a marginal improvement against the US dollar, gaining 0.05% in the inter-bank market.

At midday, the rupee was trading at 284.83, marking an increase of Re0.13. The currency had closed at 284.96 the previous day.

Global Market Influences

The US dollar faced vulnerability in international markets on Thursday, having weakened overnight due to concerns surrounding reports that US President Donald Trump might dismiss the Federal Reserve chair. These concerns had impacted confidence in US markets.

Although Trump refuted the reports regarding Jerome Powell’s potential dismissal, he continued to criticize the central bank chief for the failure to lower interest rates, leaving the door open to that possibility.

Investors are worried that removing Powell before his term concludes in May 2026 could damage confidence in the US financial system and the dollar’s status as a safe-haven currency.

Trump has repeatedly criticized Powell in recent months for not reducing rates, arguing they should be at or below 1%.

The US dollar index, which assesses the dollar’s strength against major currencies, remained relatively stable at 98.384 after a 0.3% drop on Wednesday.

The US currency experienced a 0.2% rise to 148.14 yen, recovering from a 0.6% decline the previous day. The euro was valued at $1.1632, decreasing by 0.01%, while Sterling declined by 0.1% to $1.3409.

Market participants are closely monitoring tariffs, anticipating an August 1 deadline that could bring about increased trade levies for numerous trading partners.

Oil Prices Rise

Oil prices increased during early trading hours on Thursday, reversing the losses seen in the previous session. This rise was supported by stronger-than-anticipated economic data from major oil-consuming nations, along with signs of de-escalating trade tensions.

Brent crude futures increased by 27 cents, or 0.39%, reaching $68.79 per barrel at 0000 GMT. US West Texas Intermediate crude futures saw a gain of 31 cents, or 0.47%, reaching $66.69.

This information reflects an update within the day.