The Pakistani rupee gained another 0.37% against the US dollar during the first hours of trading in the interbank market on Wednesday.
At 10:10 a.m., the rupee was trading at 293.80, up Rs1.10 in the interbank market.
The rupee gained 0.36% on Tuesday, closing at 294.90.
The rupee has been rebounding in recent days after hitting a record low of 307.1 in the interbank market. The turnaround comes after the State Bank of Pakistan (SBP) implemented structural changes in the Exchange Companies (ECs) sector and authorities reportedly launched a crackdown on smuggling, bolstering currency markets.
Internationally, the US dollar maintained solid on Wednesday but dropped slightly against the yen ahead of the Federal Reserve’s much-anticipated rate announcement later in the day.
As traders awaited the Fed’s rate announcement, the US dollar index, which measures the greenback against a basket of rivals, remained relatively unchanged at 105.13.
Markets anticipate that the Fed will almost definitely maintain interest rates at 5.25% to 5.50%, focusing on the central bank’s forward guidance.
Oil prices, a major indicator of currency parity, fell further from 10-month highs on Wednesday ahead of the US Federal Reserve’s interest rate decision, with investors unsure when peak rates will be reached and the impact on energy demand.
