April 01, 2022 (MLN): The sliding Pakistani rupee (PKR) fell further in value by 61 paisa against the US dollar on Friday to close out the week at 184.09 against the dollar, compared to the settlement of PKR 183.48 the previous day.
The outgoing week proved to be the toughest for the local currency as it crossed the PKR 184 per USD mark while losing value by 2.3 rupees over five trading sessions. The previous week closed at PKR 181.78 per USD.
During today’s trading session, the domestic unit endured a volatile trading session with prices trading in a range of 85 paisa, showing an intraday high bid of 184.35 and an intraday low bid of 183.70.
The sharp decline in the PKR is related to a range of factors, including political uncertainty, a slowdown in the IMF program and a significant decline in foreign exchange reserves.
According to the experts, the heated political environment has created uncertainty, so to regain stability, the dust must have settled at the earliest.
From July 21 to date, the local unit has lost Rs26.54 against the USD. Similarly, the rupee fell by Rs 7.57 in CY22 with the month-to-date (MTD) position showing a decline of 0.33%, according to data collected by Mettis Global.
Over the past 52 weeks, PKR has lost 17.28% against the greenback, hitting its low of 184.09 today and hitting its high of 152.27 on May 7, 2021.
In addition, since its high on March 31, 2021, the local unit has weakened by 11.36% against EUR. While it is down 13.24% against GBP since its peak on April 09, 2021.
Within the open market, PKR traded at 184.50/185.50 per USD.
Meanwhile, the currency lost 60 paisa to the British pound as the day’s closing rate was PKR 241.63 per GBP, while the previous session ended at PKR 241.04 per GBP.
On the downside, PKR rose 1.1 rupees against EUR, which closed today at PKR 203.65 at the interbank.
On the other hand, within the money market, the State Bank of Pakistan (SBP) has conducted two Open Market Operations (OMOs) today in which it injected a total amount of Rs3.1 trillion into the market over 7 days at 9.8 per cent.
The overnight repo rate at the end of the session was 10.30/10.40 percent, while the 1-week rate was 10.15/10.25 percent.
Copyright Mettis Link News
Posted on: 2022-04-01T19:40:21+05:00
This post PKR loses fortune and sees 2.3 rupees drop in a week
was original published at “https://mettisglobal.news/pkr-loses-fortune-witnessing-a-drop-of-2-3-rupees-in-a-week/”