Pakistani rupee edges up 0.01% against US dollar in interbank market
The Pakistani rupee appreciated 0.01% against the US dollar in the interbank market on Thursday, closing at 276.92, a gain of Re0.03 from the previous day's 276.95, according to market data. The marginal move came as the US dollar retreated from an 18-month high globally.
The dollar index, which measures the US currency against a basket of peers, was down 0.1% at 102.06 on Thursday, having given back most of the gains made after Wednesday's inflation reading. US Labor Department data showed the core consumer price index rose 0.3% in September, above economist expectations of 0.2%, while the annual core rate was 2.6% and the headline rate 3.7%, both above forecasts. The data briefly boosted the greenback and raised market pricing for an October Fed rate hike to 50%, but cautious remarks from Federal Reserve officials and a pullback in Treasury yields led traders to scale back those expectations.
Against the dollar, the euro bounced 0.3% from an 18-month low to $1.1187, while sterling strengthened 0.2% to $1.3224, recovering from a 13-month low. The Australian dollar fetched $0.6952, down 0.3%, after local employment unexpectedly slid in September. The Japanese yen was up around 0.3% at 157.82.
Oil prices, a key indicator of currency parity, fell more than 1% on Thursday as investors weighed risks to supply from attacks on shipping through the Strait of Hormuz against US efforts to cut petroleum shipping costs by easing sanctions on vessels. Brent crude futures fell $1.64, or 1.6%, to $104.42 a barrel by 0337 GMT, while US West Texas Intermediate crude futures were down 98 cents, or 1%, to $94.11, reversing gains from the previous session.
