Rupee stable against US dollar

The Pakistani rupee remained largely stable against the US dollar, depreciating 0.01% in the inter-bank market on Friday.

At close, the currency settled at 278.05, a loss of Re0.01 against the greenback.

On Thursday, the rupee had settled at 278.04, according to the State Bank of Pakistan (SBP).

Internationally, the yen jumped as much as 1% to a six-week high at 150 per US dollar on Friday, after faster than expected inflation in Tokyo supported bets for a Bank of Japan interest rate hike next month.

The US dollar sagged against most major peers in trading thinned by the US Thanksgiving holiday, with sterling at the highest since Nov. 20.

Despite the US dollar doldrums of the past week, following the currency’s surge to a two-year high against a basket of key rivals a week ago, it is still on track for a more than 2% gain for November, following its more than 3% leap last month.

Most of that has been on Donald Trump’s resounding election victory on Nov. 5, pumping up expectations of big fiscal spending, higher tariffs and tighter borders, all seen by economists as inflationary.

This week, the dollar index is on track for a 1.5% slide.

The dollar index was 0.18% weaker at 105.88.

Oil prices, a key indicator of currency parity, prices fell on Friday, heading for a weekly drop of more than 3%, as concerns over supply risks from the Israel-Hezbollah conflict eased, alleviating earlier disruption fears.

Brent crude futures fell 55 cents, or 0.8%, to $72.73 a barrel by 0758 GMT.

US West Texas Intermediate crude futures were at $69.52, down 20 cents, or 0.3%, compared with Wednesday’s closing price.

On a weekly basis, Brent futures were down 3.3% and the US WTI benchmark was trading 3.8% lower.

Inter-bank market rates for dollar on Friday

BID                            Rs 278.05

OFFER                      Rs 278.25

Open-market movement

In the open market, the PKR gained 12 paise for buying and lost 1 paisa for selling against USD, closing at 277.31 and 279.07, respectively.

Against Euro, the PKR lost 33 paise for buying and 41 paise for selling, closing at 291.47 and 294.30, respectively.

Against UAE Dirham, the PKR lost 2 paise for both buying and selling, closing at 75.27 and 75.99, respectively.

Against Saudi Riyal, the PKR lost 3 paise for buying and remained unchanged for selling, closing at 73.53 and 74.18, respectively.

Open-market rates for dollar on Friday

BID                            Rs 277.31

OFFER                      Rs 279.07