Rupee extends gains

KARACHI: The rupee extended gains for the second consecutive session on Wednesday due to fewer import payments and positive sentiment, dealers said.

In the interbank market, the rupee closed at 158.76 against the dollar, compared with the previous closing of 158.89.

The rupee ended at 158.95 to the dollar, stronger from Tuesday’s closing of 159.10 in the open market.

Dealers said the domestic currency continued to appreciate against the greenback due to improvement in the current account balance, higher remittances, and increased inflows from overseas Pakistanis in Roshan Digital Account initiative.

“There were routine import payments. Inflows were also higher than the demand,” a foreign currency dealer said.

“We expect the rupee to continue a range-bound trading pattern in the coming sessions.”

The decline in the current account deficit and rising remittances could bode well for the rupee and the foreign exchange reserves, a currency dealer said.