The currency market might be confusing, so let’s break down recent rupee and US dollar events to help.
Financial analysts have discussed the rupee trajectory for weeks. Changes in the rupee’s value against the US dollar are intriguing. To clarify, the rupee exchange rate has fluctuated between 275 and 285 rupees per US dollar. It oscillates within this range like a seesaw.
The recent rupee behaviour was also unusual, according to specialists. Since September 6, the rupee has strengthened. It then reversed direction and fell to 278.80 rupees per dollar, ending the week.
Tresmark experts said the market took comfort in this. They called it the rupee’s “Goldilocks Zone”. The 275–285 rupees per dollar range is ideal—not too high or low. Like finding the correct money balance.
What’s next? Experts expect the rupee to stay in this range until the IMF reviews Pakistan’s loan programme. This review should happen shortly.
On October 30, when the central bank unveils its monetary policy, there may be some turmoil. The rupee may suffer if they lower interest rates.
Additionally, inflation must be considered. A stronger rupee policy may challenge the Goldilocks Zone. This zone may fail if inflation rises sufficiently.
IMF’s evaluation of Pakistan’s credit programme is important for the future. If this review goes well, the rupee may increase. Traders anticipate a steady currency market before the central bank’s interest rate decision.
Overall, the currency remains stable and may go below 280 rupees per dollar next week. These adjustments reflect economic statistics, gasoline costs, and market dynamics