PKR slips marginally below 280 against USD after a year
The Pakistani rupee recorded a slight depreciation of 0.04% (Re0.10) against the US dollar in the inter-bank market on Monday, closing at 279.97. This marks the first time in over a year that the local currency has settled below 280 against the greenback. Last week, the PKR saw a gradual decline, losing Re0.30 or 0.11% overall.
Globally, the US dollar struggled after facing heavy losses last week, driven by weak labor market data and rising trade war concerns. Investors shifted to safe-haven currencies like the yen and Swiss franc. The US dollar index stood at 103.59, near a four-month low, as market confidence in the American economy weakened due to trade tensions and tariff fears.
Oil prices also fell on Monday amid worries over US tariffs’ impact on global economic growth. Brent crude dropped to $70.30 per barrel, while WTI slipped to $66.96. Rising OPEC+ output and decreased risk appetite further pressured oil prices, influencing currency movements.
In the open market, the PKR lost 3 paise for buying and 2 paise for selling against the USD, closing at 279.28 and 281.49, respectively. The rupee also weakened against the euro, UAE dirham, and Saudi riyal. Market sentiment remains cautious as global trade uncertainties and economic slowdown fears continue to weigh on financial markets.
