US Dollar

The rupee had closed at just over Rs 81 on Friday. On Monday, the Indian currency opened at Rs 80.92 at the interbank foreign exchange market and went down further to change hands at Rs 81.39 against a dollar. According to forex dealers, the Reserve Bank of India and public sector oil companies stepped in to stem the fall.

"Pakistan is currently dealing with problems on several fronts, the political crisis being the first and biggest one. The dollar crisis is also connected with it," Malik Bostan, the Chairman of the Exchange Companies Association of Pakistan (ECAP), said at a news conference, The News reported.

As per the actual schedule, the country was to return the maturing investment in the US dollar-denominated global bond on Monday, The Express Tribune reported. "Yes, we have made the payment of $1 billion," State Bank of Pakistan (SBP) spokesperson Abid Qamar confirmed to The Express Tribune. The bank has made the payment to Citigroup, which will transfer the funds onward to the investors.

"US dollar notes below year 2021 will not be acceptable from January 2023 -- US government -- something is fishy," reads the November 5 FB post that was shared more than 200 times in less than two weeks, USA today reported, saying that other versions of the claim amassed hundreds of additional shares on the social media platform.

The US dollar closed at 221.66 PKR on Monday, and on the second working day of the week the local currency appreciated by 0.01 PKR, or about 0.00 per cent, against the US dollar, the SBP said on Tuesday. The PKR recorded a gain of 0.26 PKR or 0.12 per cent appreciation on Monday in the inter-bank market.

The rupee opened at 82.57 but touched a high of 83.01 during intraday trade. It eventually closed at 82.74. There are expectations of another rate hike by the US Federal Reserve when it meets on Wednesday (November 2). Analysts are hoping that US Federal Reserve chairman Jerome Powell may be less hawkish while reviewing key rates.

The currency fell to a record low of 82.95 after the US dollar strengthened against all major currencies globally. the dollar's ascent has been triggered by inflation in the UK hitting a 40-year high level last month, owing to rising food prices.

"Even so, intervention by the RBI is likely to keep INR (Indian Rupee) in the range of 82.25-82.75/$ in the near-term. Fed minutes and US Q3CY22 GDP (gross domestic product) scheduled to be released later in the month will determine the course of the forex market," the report said.

Addressing a press conference in Washington on Friday, Sitharaman said that rupee has withstood dollar's rise and has performed better than those of many emerging market currencies. "I won't see this as rupee sliding but as dollar strengthening. It is a matter of fact that the rupee has withstood the rise of dollar. But it has performed better than many other emerging market currencies," she said.

Mounir Younes, an economist and former editor-in-chief of Al Qabas newspaper in Kuwait, attributed the further collapse of the Lebanese pound to the delay in the implementation of necessary reforms that would pave the way for an agreement with the International Monetary Fund. "Also, the obligatory reserves at the Central Bank of Lebanon continue to be depleted, which creates a negative sentiment," Younes said.