The Pakistani rupee depreciated 0.01% on Monday in the interbank market, although it was relatively steady versus the US dollar.
At closure, the currency lost Re0.02 vs the US dollar, closing at 277.66.
The rupee lost Re0.12, or 0.04%, versus the US dollar last week, indicating a little weakening. The local currency finished at 277.64 versus the US dollar, down from 277.52 the week before, according to the State Bank of Pakistan (SBP).
In its staff report published last week, the International Monetary Fund (IMF) cautioned that there were serious dangers to Pakistan’s ability to repay the Washington-based lender, noting that the government was still heavily reliant on timely external funding and the deployment of policies.
All over the world, the US dollar continued to rise in early Monday trading in Asia as a Japanese vacation reduced liquidity and the market’s focus shifted to China’s relatively underwhelming stimulus initiatives over the weekend.
Due to traders lowering their chances for more big rate reduction by the Federal Reserve at its remaining meetings this year, the dollar index was up a little and approaching its top from last week, which was its highest since mid-August. It was trading at 103.10.
Expectations that the Federal Reserve would lower interest rates by 25 basis points next month, rather than the 50 basis points it chose in September, have helped the dollar index recover from its decline to a year-to-date low of 100.15 late last month.
