Rupee edges down

KARACHI: The rupee ended slightly weaker against the dollar in the interbank market on Thursday, dealers said.

The rupee closed at 154.84 against the dollar, compared with Wednesday’s closing of 154.78.

Dealers said the local currency fell marginally during the session on the back of some improvement in the supply of the greenback.

“There was dollar demand throughout the day and the demand was met by inflows available in the market,” a currency dealer said.

“The market was volatile and the rupee crossed the 155 level during the first session, but it managed to recover some losses before the day ended,” he added.

Dealers said they expected the rupee to stabilise around the current levels and it is unlikely to touch 155-mark at least this month.

Traders awaited the upcoming monetary policy for the future direction of the rupee.

The State Bank of Pakistan will announce its monetary policy decision on Friday (today). Most analysts expect the SBP’s Monetary Policy Committee to maintain the policy rate at 7 percent, as the need to sustain economic momentum will take precedence over weakening trade balance and rising inflationary pressures.