Intra-day update: rupee stays under pressure against US dollar
The Pakistani rupee remained under pressure against the US dollar, depreciating 0.03% during trading in the inter-bank market on Monday. At 10:10am, the rupee was hovering at 301.1, a decrease of Re0.10, in the inter-bank market. During the previous week, the rupee closed negative across all five sessions to end at a historic low of 301 against the US dollar. The currency fell 1.7% against the greenback, but the gap with rates in the open market continued to stay over the prescribed limit by the International Monetary Fund (IMF), raising concerns over further fall in the inter-bank market. Pakistan’s rising imports as restrictions ease, and falling foreign exchange reserves with no inflows in sight are keeping pressure on the rupee. In a related development, the State Bank of Pakistan (SBP) stated that it cannot impose a ban on import of any item as it falls under the domain of Ministry of Commerce (MOC). Globally, the US dollar eased from a 12-week peak on Monday as traders weighed the US monetary path after the Fed Chair Jerome Powell left open the possibility of further interest rate increases, while the yen hovered close to its lowest in over nine months. In an eagerly awaited speech at the annual Jackson Hole Economic Policy Symposium, Federal Reserve Chair Powell promised to move with care at upcoming meetings as he noted both progress made on easing price pressures as well as risks from the surprising strength of the US economy. Oil prices, a key indicator of currency parity, were marginally lower on Monday as investors stayed fretful over the pace of economic growth in China, and the prospect of further US interest rate hikes that could dampen fuel demand. This is an intra-day update
Karobar
The Pakistani rupee remained under pressure against the US dollar, depreciating 0.03% during trading in the inter-bank market on Monday.
At 10:10am, the rupee was hovering at 301.1, a decrease of Re0.10, in the inter-bank market.
During the previous week, the rupee closed negative across all five sessions to end at a historic low of 301 against the US dollar.
The currency fell 1.7% against the greenback, but the gap with rates in the open market continued to stay over the prescribed limit by the International Monetary Fund (IMF), raising concerns over further fall in the inter-bank market.
Pakistan’s rising imports as restrictions ease, and falling foreign exchange reserves with no inflows in sight are keeping pressure on the rupee.
In a related development, the State Bank of Pakistan (SBP) stated that it cannot impose a ban on import of any item as it falls under the domain of Ministry of Commerce (MOC).
Globally, the US dollar eased from a 12-week peak on Monday as traders weighed the US monetary path after the Fed Chair Jerome Powell left open the possibility of further interest rate increases, while the yen hovered close to its lowest in over nine months.
In an eagerly awaited speech at the annual Jackson Hole Economic Policy Symposium, Federal Reserve Chair Powell promised to move with care at upcoming meetings as he noted both progress made on easing price pressures as well as risks from the surprising strength of the US economy.
Oil prices, a key indicator of currency parity, were marginally lower on Monday as investors stayed fretful over the pace of economic growth in China, and the prospect of further US interest rate hikes that could dampen fuel demand.
This is an intra-day update
