On the opening day of the business week, the Pakistani rupee showed resistance as the US dollar reached Rs192.25 from Rs192.53, but the resistance was temporary, as the US dollar will bounce back with an increase of 97 paisas and crossed the Rs193 mark once again.
US dollar has yet again set another record against the Pakistani rupee as on the last day of the previous business week it had reached Rs193.47 and now it has reached Rs193.50.
Previous week’s data from the FAP showed that the dollar had risen to record highs against the rupee for five consecutive days, with the international currency hitting a high of Rs188.66 in the interbank market last Tuesday, then soaring to Rs190.90 on Wednesday, rising past Rs192 on Thursday and reaching Rs193.10 on Friday.
Interbank closing #ExchangeRate for todayhttps://t.co/0Wxq3xaGIw pic.twitter.com/dthDxKRLzg
— SBP (@StateBank_Pak) May 13, 2022
The decline in the rupee is mainly because of an uncontrolled increase in imports coupled with a relatively slower pace of growth in exports. This is reflected in the trade deficit, which reached $39 billion in July-April.
It will be important to see later in the day how the rupee will bounce back in the latter half of the day.
Prime Minister Shehbaz Sharif in his inaugural speech in parliament after being elected as PM vowed to stabilize the dollar.
The dollar has gone down to Rs182 after the new government came into power but now it reached a record high of Rs193 due to market uncertainty and political tussle looming over the country.