The Pakistani rupee registered gains against the US dollar, as it appreciated 0.13% during the opening hours of trading in the inter-bank market on Tuesday.
At 11:20am, the rupee was hovering at 285.60, an increase of Re0.37 in the inter-bank market.
On Monday, the rupee registered gains to settle at 285.97 against the US dollar.
In a related development, Pakistan’s Foreign Direct Investment (FDI) rose by 7% during the first four months of this fiscal year (FY24), the State Bank of Pakistan reported on Monday.
Overall, Pakistan fetched FDI amounted to $525 million in July-Oct of FY24 as against $490 million in corresponding period of last fiscal year (FY23), showing an increase of $35 million.
Internationally, the US dollar slipped to fresh milestone lows on the euro, yen and other major currencies on Tuesday, as China guided the yuan higher and its strength spurred broader softness for the dollar ahead of minutes from the Federal Reserve.
The dollar index, which has fallen in seven of the past eight sessions, broke below its 200-day moving average on Monday and was down 0.2% at 103.2 on Tuesday, a 2-1/2-month low.
Markets have all but priced out the risk of a further US rate hike in December or next year, and imply a 1-in-4 chance of an easing starting in March.
Fed minutes are due at 1900 GMT and headline the day ahead, along with a speech from European Central Bank President Christine Lagarde.
Oil prices, a key indicator of currency parity, fell on Tuesday, reversing the previous day’s rally, as concerns over weaker demand amid a slowing global economy outweighed the prospect of deepening supply cuts by OPEC and its allies such as Russia.
Brent crude futures fell 36 cents, or 0.4%, to $81.96 a barrel by 0439 GMT while U.S. West Texas Intermediate crude was at $77.50 a barrel, down 33 cents, or 0.4%.
This is an intra-day update
