US dollar continues to rise, reaches Rs.161 against rupee

KARACHI: The United States Dollar has climbed against the Pakistani rupee at the interbank by 1.03 rupees on Tuesday.

The US Dollar is being traded in the interbank market at around 161.50 rupees. The Pakistani Rupee earlier on Monday weakened at the start of the new week, after firming across the previous week.

The Pakistani Rupee gained 3.4 percent in the greenback last week, picking up from 166.25 to settle on Friday at 159.90, its strongest close in 5 weeks. 

On Monday, US Dollar eased versus its major peers, although advanced in contrast to the Pakistani Rupee, amid improved risk sentiment in the broader financial markets. 

Last week, the dollar fell to Rs 161.13, down against rupees owing to a massive decline in international oil prices.

The demand for the dollar in the segment has been hit badly due to the lower import volumes. On the other hand, inflows from the International Monetary Fund worth $1.386 billion from last week have increased supply of the Greenup.

In this regard, Pakistani economists asserted that the positive sentiments prevailed in the market due to the significant decline in international oil prices which would also help reduction in Pakistan’s oil import bill.