PKR reports minor gain of 1.7 rupees against greenback

January 31, 2023 (MLN): Snapping its losing streak, the Pakistani rupee (PKR) has reported a minor gain of 1.7 rupees against the US dollar in today's interbank session as the currency settled the day's trade at PKR 267.89 per USD, compared to previous closing of PKR 269.63 per USD.

Within today’s session, the local unit traded in a band of 60 paisa, showing an intraday high bid of 270 and low offer of 266 while in the open market, PKR was traded at 268/271 per USD.

This slight appreciation is attributed to the smooth supply of dollars in the market as exporters started offloading dollars due to higher rates.

Meanwhile, the recent talks with the International Monetary Fund (IMF) have brought a sense of stability to the forex market, leading to a correction in exchange rate parity. This is a welcome change after the sharp decline in PKR value against the US dollar in previous sessions.

In FYTD, PKR lost 63.03 rupees or 23.53%, while it plummeted by 13.99% against the USD in the last seven sessions, as per data compiled by Mettis Global.

The currency gained 3 rupees against the Pound Sterling as the day's closing quote stood at PKR 330.84 per GBP, while the previous session closed at PKR 333.82 per GBP.

Similarly, PKR's value strengthened by 2.2 rupees against EUR which closed at PKR 290.52 at the interbank today.

On another note, within the money market, the overnight repo rate towards the close of the session was 17.60%/17.70% whereas the 1-week rate was 17.05%/17.15%.

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