Rupee registers gain against US dollar

Business Recorder reported that the Pakistani rupee strengthened slightly against the dollar on Monday, gaining 0.01% in the interbank market. The local currency closed the session at 277.22, which is Rs0.03 stronger than before. Over the prior week the rupee had edged up 0.03% to settle at 277.25.

Currency traders focused on the yen, which was a touch firmer at 156.64 per dollar after falling 2% last week. Japanese markets were shut for a three-day holiday, leaving liquidity thin and traders watchful for an official intervention. Brent crude slid $2.69 to $101.18 a barrel, its lowest in 11 days, as hopes grew for diplomatic progress on the Iran war. Meanwhile, the Federal Reserve's rate hike last week and signals of more increases have pushed traders to price in a 55% chance of another hike at the October meeting.

In the open market, the dollar was quoted at Rs278.23 for buying and Rs279.07 for selling. Against the euro, the rupee gained 2 paisa on the buying rate but lost 21 paisa on the selling rate. The rupee also lost ground against the UAE dirham and the Saudi riyal in open-market quotes.