Pakistan's Currency Strengthens Slightly Against US Dollar Amid Market Dynamics
In the open market, exchange companies set the dollar at 279.25 for buying and 281.25 for selling.
Karobar
In the latest interbank session, the Pakistani rupee (PKR) exhibited a modest appreciation of 1.29 paisa against the US dollar, closing the trade at PKR 279.31 per USD. This marginal strengthening contrasts with the previous session's closure at PKR 279.33 per USD.
Throughout the day, the currency experienced an intraday high (bid) of 279.6 and a low (ask) of 279.3.
The financial markets are currently adapting to the incoming government following last week's elections. However, the uncertainty arising from election result delays has adversely affected the financial landscape.
The election outcome has raised concerns about heightened political instability, casting a shadow over growth prospects and the country's ability to secure International Monetary Fund (IMF) aid crucial for averting default, as reported by Bloomberg. This uncertainty was a primary factor contributing to the previous session's decline against the US dollar.
In contrast to major currencies, PKR gained 76.81 paisa against the Euro, closing at 300.88 compared to the previous value of 301.65.
The British Pound saw a marginal increase of 17.93 paisa, closing at 353.36 compared to 353.18 from the previous day.
The Swiss franc experienced losses of 2.56 rupees, closing at 317.3 versus 319.85 from the previous session.
Against the Japanese Yen, PKR gained 0.73 paisa, closing at 1.8669 versus 1.8742 a day ago.
The Chinese Yuan lost 0.18 paisa, closing at 38.83 against 38.83 from the previous session.
The Saudi Riyal closed at 74.48 with a loss of 0.54 paisa from its value of 74.49 a day ago.
The U.A.E Dirham decreased in value by 0.45 paisa from 76.05 a day ago to 76.05.
In the current financial year, PKR has appreciated against the US Dollar by 6.68 rupees or 2.39%. Meanwhile, the calendar year has witnessed a PKR appreciation of 2.55 rupees or 0.91%.
Turning to the Money Market, the benchmark 6 Month Karachi Interbank Bid and Offer rates experienced a slight increase by 4 basis points to 21.16% and 21.41%.
