PKR drops by Rs1.4 in a week

October 01, 2021 (MLN): Snapping a long losing streak Pakistani rupee (PKR) managed to gain some ground in the interbank market, appreciating by 18 paisa per USD to close the day's trade at PKR 170.48, against yesterday's closing of PKR 170.66.

The Rupee saw moderate volatility in today’s session and traded in a range of 65 paisa per USD showing an intraday high bid of 170.60 and an intraday Low offer of 169.95.

The local unit kicked off the fourth month of FY22 on a positive note after witnessing a notable slash in its value in the previous interbank market sessions. However, the rupee is still enduring the pressure amid widening current account deficit and geopolitical scenario.

During the week, the currency has lost 1.4 rupees against the greenback, as the previous week was concluded at PKR 169.08 per USD.

Within the Open Market, PKR was traded at 172.5/173.5 per USD.

As per the data compiled by Mettis Global, the local unit has depreciated by 7.59% or PKR 12.93 in the fiscal year-to-date against the USD. Similarly, the rupee has weakened by 6.24% or PKR 10.64 in CY21, with the month-to-date (MTD) position showing a decline of 0.11%.

Alternatively, the currency lost 32 paisa to the Pound Sterling as the day's closing quote stood at PKR 229.72 per GBP, while the previous session closed at PKR 229.4 per GBP.

On the other hand, PKR's value strengthened by 69 paisa against EUR which closed at PKR 197.4 at the interbank today.

On another note, within the money market, the State Bank of Pakistan (SBP) conducted an Open Market Operation in which it injected Rs.1.95 trillion for 7 days at 7.32 percent.

The overnight repo rate towards the close of the session was 7.40/7.50 percent, whereas the 1-week rate was 7.35/7.45 percent.

Copyright Mettis Link News