Rupee slightly edges higher against US dollar
Last updated on: 23 May,2019 03:30 pm
Yesterday, the US dollar rate declined by Rs1 in the open market.
KARACHI (Dunya News) – Pakistani rupee on Thursday gained against the US dollar by 45 paisa, and it was being traded at Rs151.50 in the interbank market.
Yesterday, the US dollar rate declined by Rs1 in the open market.
Last week, it continued to slide by losing more than 5% in the wake of a $6 billion loan accord with the International Monetary Fund (IMF).
The IMF accord, which must still be approved, foresees a “market-determined” rate for the rupee. At present, the currency — which many analysts consider overvalued — is managed by the central bank in a de facto controlled float.
The IMF had, in its statement on the programme, referred to a “market determined exchange rate”, which the financial markets did not take very well.
The State Bank of Pakistan, which lifted interest rates by 150 basis points on Monday to 12.25%, said it was watching the foreign exchange market closely and would act in the case of “unwarranted” volatility.
KSE-100 surges 700 points
The stock market saw a bull-run on Thursday as the KSE-100 index surged by 700 points in anticipation of creation of a market support fund, which drove investor sentiments since yesterday.
The index managed to cross the 35,300 point mark, and the shares increased by 100.