Rupee records gain against US dollar

The Pakistani rupee demonstrated further strength against the US dollar on Monday, closing at 276.90, marking a gain of Re0.01. This represents a marginal improvement from the previous week's performance, where the local unit appreciated by 0.03% to settle at 276.91, a 0.09 increase from its closing level a week prior. Internationally, the US dollar saw a slight uptick as protests in France pressured the euro, driving the currency down by 0.1% to $1.1225.

The dollar index, which heavily weighs the euro, benefited from the euro's decline, steadying the greenback at 101.83. Against the Japanese yen, the US dollar remained unchanged at 158.00 yen, with the Bank of Japan Governor Kazuo Ueda stating that underlying inflation is "quite close" to the central bank's 2% target. In the forex market, the US dollar held steady at 6.6842 yuan as traders awaited China's GDP data for the third quarter, anticipating a slight acceleration in the economy following a multi-year low.

However, Indonesia's rupiah remained the focus in emerging market Asia following an MSCI threat to downgrade the country's stock market to "standalone" status, causing a 11.6% stock market drop. Oil prices, a critical currency factor, declined from a five-month peak as profits were realized from US President Donald Trump's decision to waive sanctions and tariffs on Russia, potentially leading to increased Russian fuel exports.

Brent crude futures fell by $2.29, or 2.08%, to $107.57 a barrel, while US West Texas Intermediate crude dropped by $1.95, or 1.92%, to $99.46 a barrel.