Rupee depreciates to four-week low

Pakistani currency on Wednesday hit a new four-week low at Rs278.40 against the US dollar in the inter-bank market, while gold surged to a fresh record high at Rs251,900 per tola (11.66 grams) in line with the global trend. According to State Bank of Pakistan’s (SBP) data, the rupee further dropped Rs0.11 on a day-on-day basis, reaching a 28-day low at the close of market. With this, the currency has cumulatively lost 0.49%, or Rs1.37, in the past three weeks compared to the five-and-a-half-month high close at Rs277.03/$ in late March 2024. The currency has maintained its downturn amid a seasonal drop in supply of the foreign currency against its demand. The inflow of foreign currency on account of workers’ remittances is believed to be slowing down post-Ramazan and Eid celebrations last week.