The Pakistani rupee strengthened by 18 paisas against the U.S. dollar, closing at 281.23. On Thursday, the local currency had ended the session at 281.41.
In global markets, the U.S. dollar maintained its strength on Friday after stronger-than-expected economic data, which reduced expectations of further monetary easing by the Federal Reserve this year. The Dollar Index rose by 0.6% in the previous session as U.S. economic growth, jobless claims, durable goods orders, and wholesale inventory figures all came in above forecasts.
Following U.S. President Donald Trump’s announcement of new tariffs, the Japanese yen traded at its lowest level in eight weeks. Market participants are now awaiting the release of U.S. consumer spending data on Friday for clues about how urgently the economy may need additional stimulus from the Fed.
The Dollar Index remained steady at 98.473, near a three-week high, and was on track for a 0.8% weekly gain. Meanwhile, the U.S. dollar held almost unchanged at 149.81 yen, hovering just below the 150 mark for the first time since August 1. The euro traded at $1.1665 after falling 0.6% on Thursday.
At present, markets are reflecting an 87.7% probability of a 25 basis point interest rate cut by the Federal Reserve in October, slightly down from the 90–92% probability indicated earlier in the week.
