As a result of the preventive measures taken by the State Bank of Pakistan (SBP), the rupee was able to resist fresh losses in it's value against dollar in the interbank market. Inching up with a little gain of five at 69.40 and 69.50 paisa for buying and selling, dealers said on Thursday.
To bring stability in the currency regime, the State Bank of Pakistan (SBP) on Thursday announced an increase in its key discount rate to 12.0 percent from 10.5 percent, effective May 23, reinforcing its fight against inflation and widening twin deficits.
The Governor of the SBP, Shamshad Akhtar said that the increase has been necessitated by the persistent and excessive government borrowing from the State Bank to meet financing requirements of the budget deficit.
In the fourth session, euro pushed to a one-month high against dollar on Thursday after the Federal Reserve cut its 2008 growth forecast, while crude oil's surge to fresh record highs stirred fears about inflation and a deeper US slowdown.
Oil jumped to a record high of $135.04 in early trade, extending big gains from the previous day and fuelling worries that the US economy is sliding into stagflation - a vicious combination of rising inflation and tepid growth.
The euro, however, maintained its upward trend, rising Rs 1.76 for buying and selling at Rs 110.20 and 110.30, they said.

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Open Buying             Rs 70.00
Open Selling            Rs 70.10
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Buying                Rs 69.40
Selling               Rs 69.50
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Repo Rates (Yield p a)
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Tenor      Low Bid   High Bid   Low Offer   High Offer    Average
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Overnight   10.40      10.45       10.40       10.50        10.44
1-Week       9.70      10.00        9.90       10.25         9.96
2-Weeks      9.80      10.00        9.95       10.25        10.00
1-Month      9.80      10.00        9.90       10.25         9.99
2-Months     9.85      10.10       10.00       10.25        10.05
3-Months     9.85      10.15       10.00       10.25        10.06
4-Months     9.95      10.20       10.10       10.30        10.14
5-Months    10.00      10.20       10.15       10.30        10.16
6-Months    10.00      10.25       10.20       10.30        10.19
9-Months    10.00      10.25       10.25       10.35        10.21
1-Year      10.10      10.30       10.25       10.40        10.26
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Call Rates (Yield p a)
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Tenor      Low Bid   High Bid   Low Offer   High Offer    Average
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Overnight   10.50      11.25       11.00       11.75        11.13
1-Week      10.75      11.20       11.00       11.50        11.11
2-Weeks     10.50      11.00       10.75       11.25        10.88
1-Month     10.75      11.00       10.90       11.25        10.98
2-Months    10.85      11.00       11.00       11.40        11.06
3-Months    10.90      11.15       11.00       11.50        11.14
4-Months    10.50      11.00       11.10       11.25        10.96
5-Months    10.75      11.25       11.25       11.25        11.13
6-Months    10.75      11.25       11.25       11.50        11.19
9-Months    11.00      11.40       11.40       11.60        11.35
1-Year      11.00      11.50       11.50       11.75        11.44
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