Rupee Crashes 6th Day in Row Against US Dollar, British Pound

After starting the day at 303.66 in the interbank market, the Pakistani rupee lost more ground against the US dollar today.

In line with opening-bell bears, it was bearish at 12 PM, dropping as low as 304 after losing Rs. 1 versus the dollar.

Later, between 1:30 and 2:30 PM, it returned to the 303 level and set trends for the rest of the day.

In less than two weeks after the caretaker administration took office, the USD has risen 14.56 rupees versus the PKR.

Open market rates (recorded) ranged from 306-312 at different currency counters.

The PKR lost Rs. 1.05 versus the dollar today and decreased by 0.35 percent to settle at 303.05.

Trends have mostly been in the red throughout August. The black market rate, which trades in the 316-323 range, has likewise retreated from the bank rate. Currency traders anticipate slower slippages until the PKR reaches a level it feels comfortable forming resistance at. As was previously reported, the month of August can witness several record lows of between 300 and 305.

Relevantly, since January 2023, the currency has lost roughly 83 rupees. It has lost more than Rs. 130 versus the US dollar since April 2022. The PKR has decreased by Rs. 1.05 in value relative to the dollar as per today’s exchange rate moves.

One trader made the important announcement that the IMF will reject any attempts to lift the 1.25 percent restriction on the USD/PKR premium. Regarding additional variables influencing market sentiment, he claimed that the recent investor backlash against power costs has undermined investor confidence and will pressure the currency rate on a gradual basis. This would compel the regulator to reevaluate future PKR/USD projections and raise expectations for December-end rates above 320.

In today’s interbank market, the PKR was in the red relative to the other major currencies. In comparison to the Canadian Dollar (CAD), the Euro (EUR), the Australian Dollar (AUD), and the British Pound (GBP), it lost 59 paisas, Rs. 1.41, Rs. 1.69, Rs. 2.43, and Rs.