The Pakistani rupee dropped 4th day in a row against the US Dollar today after opening trade at 279 in the interbank market.
At 11:30 PM, it was bullish, treading the 276 level against the greenback after gaining ~Rs. 3.
Later, the interbank rate dropped to the 280 level between 1:30 PM and 2:30 PM before anchoring trends for the remainder of the day. Open market rates across multiple currency counters stood in the 275-280 range today.
At close, the PKR depreciated by 0.07 percent to close at 280.09 after losing 21 paisas against the dollar today.
The rupee closed in the red for the 4th consecutive day today.
The gap between interbank and open market rates is down by Rs. 61 since 4 September. The rates have gone down to as low as 275 and have since continued brief spikes to 281 today.
Pertinently, the rupee is down nearly Rs. 63 since January 2023. Since April 2022, it is down over Rs. 110 against the greenback. As per exchange rate movements witnessed today, the PKR has lost 21 paisas against the dollar.
In a key development, American multinational financial services company Goldman Sachs Group Inc. warned on Wednesday that the Pakistani Rupee’s (PKR) recovery is likely short-lived.
Goldman analysts led by Kamakshya Trivedi wrote, “The recent appreciation of the Pakistani rupee will likely be short-lived, given soaring interest costs and only short-term arrangements with the International Monetary Fund and bilateral financing to support the external balance. The market will continue to require a premium for Pakistan’s rupee ahead of elections”.
Notably, the PKR has surged by roughly 9 percent since late August, making it the best-performing currency in the world after Afghanistan’s Afghani (AFN).
The PKR was red against some of the other major currencies in the interbank market today. It lost four paisas against the Saudi Riyal (SAR) and five paisas against the UAE Dirham (AED).
Conversely, it gained 55 paisas against the Canadian Dollar (CAD), Rs. 1.03 against the Euro (EUR), Rs. 1.25 against the British Pound (GBP), and Rs. 1.28 against the Australian Dollar (AUD) in today’s interbank currency market.
