Rupee firm

The rupee ended nearly flat against the dollar in the interbank currency market on Thursday, dealers said.

The local currency closed at 155.41 against the greenback, compared with the Wednesday’s closing of 155.40. Dealers said the currency remained range-bound in a dull trade due to routine dollar demand from importers.

The rupee moved in the range of 155.41 and 155.47 during the entire session. In the open market, the rupee closed unchanged at 155.40/dollar. Dealers expect the local currency to remain range-bound in the coming session.

“The rupee could trade at the current levels due to increased supply of the dollar caused by healthy foreign inflows. Positive sentiments also offered some support to the rupee,” a foreign exchange dealer said. The investors are closely monitoring what the today’s foreign exchange data show them, he said.

The forex reserves held by the State Bank of Pakistan rose $443 million to $8.357 billion during the week ended November 1. Investors are optimistic that the central bank’s foreign currency reserves will further increase.