On Wednesday, the Pakistani rupee recovered from a three-day slump, gaining about Rs1.5 against the US dollar in the interbank market during intraday trade. As of 10:15 a.m., the rupee was trading at 201.4 per US dollar in the interbank market, according to the Forex Association of Pakistan. The American currency lost Rs2.33 in its value in the interbank trading, they added. Interbank closing #ExchangeRate for todayhttps://t.co/5h4viArShY pic.twitter.com/ASL46v8LTE — SBP (@StateBank_Pak) June 7, 2022 Furthermore, for the first time in its history, the local currency fell Rs4.00 in a single day on Tuesday and crossed the Rs204 level against the US dollar in the interbank market during intraday trade. The recent bearish trend began after the government raised the price of petroleum goods by a significant amount. The recovery is attributed to the tightening monetary policy of the government which has put a ban on all kinds of imports except some essential items and raw materials to bring the balance of the payments down. The market sentiments are positive as Finance Minister Miftah Ismail during a press conference yesterday expressed the government’s resolve to further tighten the belt while hinting at raising the POL price once again.