You cannot decouple your currency and the stock market, especially in weak economy. And that’s what we are witnessing in the case of Pakistan’s rupee.
On Wednesday, the rupee was down by 28 paisa against the US dollar in interbank trading and settled at Rs225.4 per compared to the previous closing of Rs225.12. It was a continuation of what we had witnessed Tuesday when the rupee had shed 18 paisa.
The latest depreciation came on a day where the KSE-100 Index shed another 489.56 points (1.23 percent) amid political and economic uncertainty that triggered the selling pressure.
Meanwhile, the rupee was traded for Rs233.25 to Rs235.58 against the US dollar which translates into a persistent Rs8 to Rs10 gap when compared with the interbank exchange rate.
On the other hand, the local currency was down 23 paisa against the pound sterling with a closing value of Rs273.93 in interbank trading. The rate in the previous session was Rs273.7.
Similarly, the Pakistan rupee also weakened against euro by 68 paisa which was available for Rs239.51.