Rupee gains Rs2 since US-Iran war

According to The Express Tribune, the rupee has appreciated by roughly Rs2 against the US dollar since the Middle East conflict began, staying firm while energy costs rise, geopolitical risks linger and international bond yields climb. On Monday the currency edged up 0.01 per cent in the inter-bank market, closing at Rs276.97 per dollar, which was three paisa stronger than Friday's Rs277 close.

Tresmark Research said Pakistan made net foreign exchange purchases of $8.1 billion in fiscal year 2026, absorbing dollar supply and capping how far the rupee could strengthen. Reserves nonetheless grew by only about $4 billion across the year, as roughly $11 billion was paid out on foreign debt obligations. Debt maturing within a year shrank from above $30 billion in June 2025 to roughly $24 billion by July 2026, with repayments, rollovers and refinancing playing a part.

On the gold front, prices fell on Monday, tracking the international market: the per-tola rate dropped Rs2,100 to Rs439,936 and the 10-gram rate eased Rs1,800 to Rs377,174, according to the All-Pakistan Gems and Jewellers Sarafa Association. Internationally, gold lost $21 to $4,174 per ounce, while silver shed Rs23 to Rs6,532 per tola. Adnan Agar of Interactive Commodities linked the drop to rising US bond yields and noted that prices have repeatedly failed to hold gains near $4,200.