March 31, 2021 (MLN): The upsurge of PKR continued at the interbank market as the rupee appreciated against the dollar in early trade on Wednesday, gaining 50 paisa when compared to the previous close on the back of $499 million inflows from IMF and Eurobond issue of $2.5 billion.
Tuesday’s closing rate was 153.09.
The dollar was being quoted at 152.60/152.80 (10:10 PST) after having opened the session at 152.50.
The dollar hit a 22-month low of 151.50, last seen on June 11, 2019, before rebounding. The lowest trade was reported at 151.75.
Asad Rizvi, former Treasury Head-Chase Manhattan Bank commented on local unit appreciation amid inflows from IMF via his Twitter handle. He said, ‘Keep in mind that we are heading for a choppy day. The market may take some time to stabilize. But this is quite normal behavior. In such a situation, institutions & corporate players should avoid speculation & book their transactions according to their needs.’
Further, 10 Day volatility increased from 2.02% on March 01, to 4.10% as of yesterday.
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