The Pakistani rupee sustained its upward momentum against the US dollar on Friday, inching higher by 0.01 percent in the inter-bank market.
At the day’s close, the rupee settled at 281.65, marking a gain of Re0.02 compared to Thursday’s finish of 281.67. This was the local unit’s 21st straight session of appreciation against the greenback.
In the open market, the rupee strengthened by 6 paise for buying and 10 paise for selling, closing at 282.27 and 283.10, respectively. Against the UAE dirham, the currency added 4 paise for buying to close at 76.83, while the selling rate stayed unchanged at 77.10. The PKR also gained 4 paise against the Saudi riyal for buying, closing at 75.13, with selling steady at 75.40. However, the rupee slipped against the euro, losing 80 paise for buying and 87 paise for selling, ending the day at 328.90 and 330.87.
Globally, the US dollar held its ground as bond markets steadied and traders looked ahead to crucial US jobs data expected to reinforce prospects of an interest rate cut by the Federal Reserve. The greenback edged higher during US trading hours on Thursday and was set for a second consecutive weekly gain amid muted activity, as investors avoided major moves before the payrolls release.
Fresh data released on Thursday showed jobless claims in the United States rose more than expected, serving as a prelude to the non-farm payrolls report that could shape the Fed’s upcoming policy decision.
Bond markets rallied in the US, Europe, and Japan after fiscal concerns triggered a rise in long-term yields. Meanwhile, the yen gained ground as Japan’s chief trade negotiator disclosed details of a finalized trade agreement with Washington.
Bart Wakabayashi, Tokyo Branch Manager at State Street, noted that “concerns about US President Donald Trump’s meddling with the Fed policy and his unpredictable tariffs have compelled investors to be shy of holding dollar assets of late.”
The dollar index, which tracks the greenback against major currencies, was little changed at 98.207 but still on track for a 0.4 percent weekly gain. The dollar eased 0.2 percent to 148.22 yen, while the euro edged up 0.1 percent to $1.1656.
Oil prices, a key factor for currency parity, extended losses into a third straight session. Brent crude futures fell $1.33, or 1.99 percent, to $65.66 a barrel by 1323 GMT, while US West Texas Intermediate dropped $1.36, or 2.14 percent, to $62.12. The decline put both benchmarks on course for their first weekly loss in three weeks amid expectations of higher supply and an unexpected increase in US crude inventories.
The post Rupee extends winning streak, closes at 281.65 against US Dollar appeared first on Profit by Pakistan Today.