Rupee extends gains

KARACHI: The rupee posted further gains on Wednesday on the back of soft dollar demand from importers, and dealers said the domestic currency should hold steady in the coming days.

The rupee closed at 168.07 against the dollar, compared with the previous closing of 168.26 in the interbank market. In the open market, the local unit ended at 168.50 against the greenback. It had finished at 168.70 on Tuesday.

Dealers said the reduction in the dollar demand from importers and exporters’ dollar conversion supported the local unit.

“The rupee faced downward pressure due to strong demand for the greenback for oil import payments. Since the import payments have been made, the rupee started to see stabilisation,” a foreign exchange dealer said. “We expect the rupee to continue a range-bound trading pattern in the days ahead. We can see some up and down depending on the greenback demand for import payments. By and large, the rupee looks to remain stable,” the dealer added.