US dollar continues to fall as rupee reasserts
Monitoring Desk:
US dollar continues to fall as the Pakistani rupee reasserts during the last two weeks. The dollar in the open market fell below Rs158 on Saturday but in the inter-bank, which closed on Friday, remained slightly above Rs158.
This is for the first time during the last eight months that the rupee has gained against the US dollar. The exchange rate further strengthened in the outgoing week as the dollar kept falling against the rupee in the market. Repeated fall of the US dollar has brought the rupee to its position where it was during the first week of 2020.
US elections weakened the dollar internationally
The US elections have weakened the dollar internationally which has impacted the improvement of the Pakistani rupee. During the week, dollar inflows remained high creating a surplus in the open market. As per reports, exchange companies are depositing $12 million into the banks every day.
While currency dealers and experts predict a further appreciation of the rupee against the dollar, some bankers said the local currency has gained due to higher remittances and the impact of Covid-19 on global markets. The rising cases of Covid-19 in the US, Europe, and Pakistan could reduce export earnings.
US dollar continues to fall as rupee reasserts
