The Pakistani rupee secured further gains against the US dollar, appreciating 0.01% in the inter-bank market on Friday.
At close, the local currency settled at 279.77, a gain of Re0.03 against the greenback.
On Thursday, the local unit closed at 279. 80.
Internationally, the US dollar rose on Friday, paring its weekly slide, after US President Donald Trump said he would soon announce his nominee to head the Federal Reserve and on optimism that Washington will avert a government shutdown.
Trump said he intends to name his pick to replace Fed Chair Jerome Powell on Friday, following reports that former Fed Governor Kevin Warsh visited the White House. In Japan, data showed inflation slowed in Tokyo but matched the central bank’s target.
The greenback clawed back some losses from this week as tensions between Trump and Cuba, Iran, Venezuela, Greenland and Europe caused some investors to lose confidence in US assets.
The dollar index, which measures the greenback against a basket of currencies, rose 0.4% to 96.60, trimming its weekly decline to 0.9%.
Oil prices, a key indicator of currency parity, slipped on Friday on signs the US may engage in dialogue with Iran over its nuclear programme, reducing concerns of supply disruptions from a US attack, though prices were on track for large monthly gains as tensions have increased.
Brent crude futures fell $1.10 to $69.61 a barrel by 0707 GMT after rising 3.4% to close at its highest point since July 31 on Thursday.
The March contract expires later on Friday.
The more active April contract slid $1.29 to $68.30.
US West Texas Intermediate crude dropped $1.25 to $64.17 a barrel after gaining 3.4% to settle at its highest level since September 26 in the previous session.
American Dollar Exchange Rate