Rupee falls against dollar

KARACHI: Pakistani rupee fell against the dollar amidst higher demand for the US currency from oil importers. “Some banks bought dollars aggressively to clear oil import payments of their clients, and that resulted in pressure on the rupee,” said a brokerage dealer.

The rupee closed at 84.10/20 to the dollar, weaker than Tuesday’s close of 83.88/94. In the money market, overnight rates fell to 9.5 per cent from 10 per cent a day earlier. Dealers said that the rates were likely to remain lower for now amid sufficient funds in the inter-bank market. Dealers said that inflows of another Rs22 billion from maturing securities were due on Friday.

Published in the Express Tribune, May 13th, 2010.