Rupee’s Performance Against US Dollar Since 04 March 2025
The Pakistani rupee posted marginal gain against the US dollar, appreciating by 0.02% during trading in the inter-bank market on Tuesday.
At close, the local currency settled at 281.02 against the greenback, up by Re0.05 against the previous day close.
On Monday, the rupee had closed the day at 281.07.
The dollar barely recouped its heavy losses on Tuesday as investors were no clearer on whether a de-escalation of the Sino-U.S. trade war was underway with Treasury Secretary Scott Bessent suggesting the onus was on China to start negotiations.
Bessent said in an interview on Monday that it was up to China to de-escalate on tariffs – the latest in a slew of conflicting signals over progress on trade talks between the world’s two largest economies.
While Trump insists there has been progress and that he has spoken with Chinese President Xi Jinping, Beijing has denied such assertions.
Oil prices, a key indicator of currency parity, fell on Tuesday as investors lowered their demand growth expectations due to the trade war between the United States and China, the world’s two biggest economies.
Brent crude futures fell by 59 cents, or 0.9%, to $65.27 per barrel by 0824 GMT. US West Texas Intermediate crude futures fell 49 cents, or 0.8%, to $61.56 a barrel.
“Stalling negotiations between China and the US on trade raises anxiety levels on economic and demand growth prospects once again,” said PVM analyst Tamas Varga.
President Donald Trump’s push to reshape world trade by imposing tariffs on all imports into the United States has created a high risk that the global economy will slip into a recession this year, according to a majority of economists in a Reuters poll.
China, hit with the steepest of those tariffs, has responded with its own levies against US imports, stoking a trade war between the top two oil consuming nations.
