Rupee Inches Up Against Dollar Amid Global Currency Swings

The Pakistani rupee gained again against the US dollar and has appreciated 0.01% in the inter-bank market.

It closed at 281.22, registering an increase of Rs0.03 against the US dollar.

Pakistani rupee gained modestly in early trade as global forex markets react to political shifts in Japan and Europe.

The Pakistani rupee has posted a slight gain against the US dollar in early inter-bank trading on Tuesday. It showed stable market sentiment amid global currency fluctuations. At 10 a.m., the Pakistani rupee stood at Rs281.03 against US dollar which appreciated by 0.08% or Rs0.22 compared to Rs281.25 closing rate on Monday.Pakistani Rupee Gains Again

Pakistani currency stabilized backed by steady remittance inflows and a manageable current account outlook.

Meanwhile, the euro remained fragile amid renewed political uncertainty in France. This follows the resignation of the country’s prime minister. The currency stood at $1.1705 with a little change against the US dollar.

In the US, the dollar index measures the greenback’s strength against six major currencies. It edged up 0.05% to 98.17, backed by safe-haven demand amid political tension in Europe and Asia.

The Fed may cut interest rates by 25 basis points at its upcoming October 28–29 policy meeting. This may happen due to weaker labor market data and rising concerns about a potential slowdown in economic activity.

.Oil prices are also considered a key driver of emerging market currencies such as the rupee. They remained stable on Tuesday and could provide additional support to Pakistan’s external balance.

Brent crude futures edged up by one cent, or 0.02%, to $65.48 per barrel at 0014 GMT. US West Texas Intermediate (WTI) crude remained unchanged at $61.69 a barrel. Both contracts had settled more than 1% higher in the previous session