Key Takeaways
- Pakistani rupee closes at 277.36, up Re0.01 against US dollar.
- Oil prices reach six-week highs, impacting currency markets.
- Houthis in Yemen launch strikes on Saudi cities, adding to regional tensions.
The Pakistani rupee extended its gains against the US dollar in the interbank market on Wednesday, closing at 277.36, a marginal increase of Re0.01 from the previous day’s rate of 277.37.
The gains in the local currency were influenced by the strengthening of the Japanese yen, which steadied near its strongest level since February, putting pressure on the dollar.
Internationally, oil prices surged to six-week highs, with Brent crude futures reaching $100.69 a barrel and US West Texas Intermediate crude hitting $95.21, its highest level since early June.
The rise in oil prices, a key indicator of currency parity, was driven by intensifying conflicts in the Middle East, which heightened concerns about oil flows.
Analysts attributed the dollar’s weakness to the rapid rise of the yen in the past week, rather than the latest escalation in regional tensions.
In the open market, the Pakistani rupee lost 1 paisa for buying and remained unchanged for selling against the US dollar, closing at 278.22 and 279.06, respectively.
Against the euro, the rupee lost 41 paise for buying and 22 paise for selling, closing at 322.70 and 325.45, respectively.
The rupee remained unchanged for buying and gained 2 paise for selling against the UAE dirham, closing at 75.67 and 76.26, respectively.
Against the Saudi riyal, the rupee gained 1 paisa for buying and 2 paise for selling, closing at 73.95 and 74.49, respectively.
