Rupee extends gains on technical correction

• With a fresh increase of 0.23%, the Pakistani rupee settles at Rs174.89 against the US dollar in the inter-bank market.
• Adnan Agar says that the slight recovery came on the back of “profit-taking”.
• Adnan Agar predicts that the currency will close the calendar year 2021 above Rs170.

KARACHI: The US dollar lost 40 paisas against the rupee on Tuesday in the inter-bank market, with currency experts believing that the rebound came on the back of technical correction.

With a fresh increase of 0.23%, the Pakistani rupee settled at Rs174.89 against the US dollar in the inter-bank market today.

Speaking to Geo.tv, AA Commodities Director Adnan Agar said that there is quite a lot of uncertainty regarding the International Monetary Fund (IMF) programme.

“The IMF programme has been taking time because of the condition regarding the autonomy of the State Bank of Pakistan (SBP),” he said, adding that a delay in the deposit of $3 billion funds from Saudi Arabia also contributed to the uncertainty.

The analyst said that the slight recovery came on the back of “profit-taking” as the government assured the nation that the funds from Saudi Arabia will be deposited soon.

Agar, however, added that if uncertainty continues till next week the currency will further lose ground.

He predicted that the currency will close the calendar year 2021 above Rs170.