Rupee secures gain against US dollar

Business Recorder reported that the rupee extended its small gains against the US dollar on Tuesday, rising 0.01% in the interbank market. The local currency closed at 277.12, improving by Rs0.03 from the 277.15 level it settled at on Monday.

Abroad, the greenback hovered close to a two-month high, supported by volatile oil prices and a steep rise in Treasury yields, though traders held back ahead of this week's US data. The euro sat near a three-month low at $1.1367 after the head of the European Central Bank pointed to measured steps against inflation, while sterling held at $1.3248. The dollar index stood at 101.2, on course for a 1.8% monthly gain, its strongest showing since June.

Oil prices rose for a second straight session, with November Brent futures up $1.71 to $106.99 a barrel amid lingering worries over Middle East supply linked to the US-Israeli war on Iran. Markets now put the chance of a Federal Reserve rate increase at the end of October above 70%, according to CME Group's FedWatch tool, up from 57% a week earlier.