KARACHI: During Thursday’s opening hours in the inter-bank market, the Pakistani rupee showed a marginal uptick of 0.1% against the US dollar, resting at 287.84 at 9:40 am — an ascent of Re0.30.
This followed a slight depreciation of 0.09% the previous day, settling at 288.14 versus the dollar.
Notably, a significant development emerged as the International Monetary Fund (IMF) staff and Pakistani authorities reached a staff-level agreement during Wednesday’s discussions, marking progress under the nine-month $3 billion Stand-By Arrangement (SBA). Pending approval by the IMF’s Executive Board, this agreement could provide Pakistan access to SDR 528 million (approximately $700 million), totaling disbursements nearing $1.9 billion.
On the global front, the US dollar stabilized after recent volatility, holding its position against the euro and slightly declining against the yen. The dollar index, measuring its performance against major currencies, recorded a slight increase after a previous day’s notable plunge.
The dollar’s support stemmed from robust retail sales figures and indications of moderating inflation, shaping the narrative of a controlled economic slowdown and potentially delaying Federal Reserve rate cuts.
Meanwhile, oil prices declined further amid concerns about increased supply from the United States alongside subdued energy demand in Asia. Brent futures fell to $80.90 a barrel, while U.S. West Texas Intermediate crude dropped to $76.35 a barrel, extending losses from the previous session.