Rupee falls marginally against US dollar

The Pakistani rupee registered a marginal decline against the US dollar, depreciating 0.04% in the inter-bank market on Tuesday.

At close, the currency settled at 278.41, a loss of Re0.11, against the greenback.

On Monday, the currency had settled at 278.30 against the US dollar.

The International Monetary Fund (IMF) has not yet included Pakistan on the agenda of its executive board meetings scheduled till July 31.

According to the Fund’s website, the IMF issued the schedule of the executive board meeting set to be held on July 24, 26, 29 and 31, but to take Pakistan’s 37-month Extended Fund Facility Arrangement (EFF) of about $7 billion on the agenda is not included.

The Pakistani authorities and the IMF team reached a staff-level agreement on the EFF on July 12.

Globally, the US dollar was little changed as it awaited fresh impetus.

Against the yen, the dollar edged 0.14% lower to 156.79. The dollar index was flat at 104.29.

The market reaction to US President Joe Biden’s decision to bow out of the election race over the weekend was muted, though there was some unwinding of the so-called Trump trade, which has seen the dollar and US Treasury yields ease a touch, while bitcoin’s rally hit a pause.

Oil prices, a key indicator of currency parity, were flat on Tuesday after a European Central Bank official hinted at a possible rate cut in September, offsetting pressure from renewed hopes of a ceasefire in the war in Gaza.

Brent crude futures for September rose 18 cents to $82.58 a barrel by 0947 GMT.

US West Texas Intermediate crude for September climbed 16 cents to $78.56 per barrel.

Oil prices declined in the previous two sessions.

Inter-bank market rates for dollar on Tuesday

BID                            Rs 278.41

OFFER                      Rs 278.61

Open-market movement

In the open market, the PKR remained unchanged for both buying and selling against USD, closing at 278.50 and 280.00, respectively.

Against Euro, the PKR gained 10 paise for buying and 4 paise for selling, closing at 300.91 and 303.91, respectively.

Against UAE Dirham, the PKR remained unchanged for both buying and selling, closing at 75.50 and 76.25, respectively.

Against Saudi Riyal, the PKR lost 3 paise for buying and remained unchanged for selling, closing at 73.75 and 74.46, respectively.

Open-market rates for dollar on Tuesday

BID                            Rs 278.50

OFFER                      Rs 280.00