The Pakistani rupee continued to rise against the US dollar, gaining 0.39% on Wednesday morning in the interbank market

Pakistani Rupee Continues to Strengthen Against US Dollar

The Pakistani rupee continued to appreciate against the US dollar on Wednesday, gaining 0.39% in the interbank market. At 10:10am, the rupee was trading at 279.43, an increase of Rs1.08.

This is one of the longest periods of appreciation for the rupee against the US dollar in recent memory. It comes in large part due to the government's crackdown on smuggling and hoarding of foreign currency, as well as reforms to the exchange companies sector.

Globally, the US dollar weakened broadly on Wednesday, tracking a decline in US Treasury yields. This was due to dovish comments from Federal Reserve officials, who have signaled in recent days that the US central bank may not need to tighten monetary policy much further than initially thought.

A weaker US dollar is generally positive for emerging market currencies, including the Pakistani rupee.

In addition, oil prices edged higher on Wednesday, which also supported the rupee. Oil prices are a key indicator of currency parity, and a stronger oil market is typically positive for the Pakistani rupee, as Pakistan is a net oil exporter.

Overall, the Pakistani rupee is benefiting from a number of factors, including a weaker US dollar, higher oil prices, and government reforms to the foreign exchange market.