The Pakistani rupee strengthened against the US dollar, appreciating 0.08% during the opening hours of trading in the inter-bank market on Friday.
At 10:05am, the local currency was hovering at 280.33, a gain of Re0.22 against the greenback.
On Thursday, the local unit closed at 280.55.
Globally, the US dollar was heading for its worst weekly performance since late July on Friday as traders ramped up bets for further monetary easing from the Federal Reserve next month, while liquidity was thinned by the US Thanksgiving holiday.
The dollar index, which measures the greenback’s strength against a basket of six major peers, was last trading up 0.1% at 99.624, recovering some ground after five days of decline, which pushed it to its worst one-week loss since July 21.
US Fed funds futures are pricing an implied 87% probability of a 25-basis-point cut at the Federal Reserve’s next policy meeting on December 10, compared to a 39% chance a week earlier, the CME Group’s FedWatch tool showed.
The yield on 10-year Treasury bonds was last up 0.8 basis point at 4.0037%, rebounding after five days of decline that saw the 4% threshold briefly crossed twice.
Oil prices, a key indicator of currency parity, were little changed on Friday as investors eyed the progress of the Russia-Ukraine peace talks and the outcome of the OPEC+ meeting on Sunday for clues on potential changes in supply, which has been weighing on prices.
Front-month Brent crude futures, which expire on Friday, were unchanged at $63.34 a barrel by 0134 GMT in thin trade after settling up 21 cents on Thursday.
The more-active February contract was at $62.85, down 2 cents.
US West Texas Intermediate crude was at $59.00 a barrel, up 35 cents, or 0.60%. There was no settlement on Thursday due to the Thanksgiving holiday in the US
Both contracts are headed for a fourth straight monthly loss, the longest losing streak since 2023, as rising global supply weigh on prices.
This is an intra-day update
American Dollar Exchange Rate