The US dollar gained 20 paisas value against the Pakistani Rupee and reaches 279.70 in the interbank trading amid the uncertainty over the deal with the international lender IMF for the final tranche.
As per expects the local currency might lose its worth against the mighty US dollar in the coming weeks and months while on the other hand, the State Bank of Pakistan (SBP) does not have enough foreign exchange reserves to cover even two months of import bills for goods.
The local currency to start depreciating the moment market-driven demand for the dollar increases amid the development, according to which, SBP liberalises import payments and outward remittances pick up further pace.
Must Read: Stocks go bullish amid political ‘stability’
Asian markets climb, Tokyo hits record after US tech gains
Asian markets were mostly up on Thursday, with Tokyo's benchmark index posting a record high, after greater-than-expected earnings from tech giant Nvidia.
Highly anticipated earnings results from US chip titan Nvidia beat expectations late Wednesday, with the firm reporting a quarterly profit of $12.3 billion on record-high revenue driven by demand for its AI-powering chips.
Following a mixed day on Wall Street, the company announced record revenue of $22.1 billion in the quarter that ended late January and $60.9 billion for the fiscal year.
Analysts had predicted its bumper profits could drive up Asian markets, and Japan's blue-chip Nikkei 225 more than delivered. It climbed as much as two percent, or more than 39,000, during afternoon trading on tech share rallies, breaking a record set in 1989.
"As goes Nvidia, so goes the market," Kim Forrest, chief investment officer of Bokeh Capital Partners, told Bloomberg earlier Thursday.
Its earnings report "does confirm the narrative that AI is going to continue to be strong for the foreseeable future. This narrative supported the markets last year, why wouldn't it do the same this year?" Forrest added.
Stephen Innes, of SPI Asset Management, said Asian equities were "poised for a potential rise", supported by Nvidia's gains in after-hours US trading, which saw its shares rise more than eight percent.
The firm's first-quarter outlook exceeded analysts' forecasts, he noted.
Hong Kong and Shanghai stocks were trading higher, as were Seoul, Taipei, Bangkok, Manila and Wellington. Sydney was flat.
London was dragged lower Wednesday by HSBC, after the banking giant's share price plunged more than eight percent on the revelation of a $3-billion impairment on Chinese activities.
Investors were looking to the European Central Bank's minutes of its most recent meeting on eurozone monetary policy, to be released later Thursday, for clues on when it could start cutting rates.
In the United States, January's Federal Reserve policy meeting minutes showed that officials had mixed views over the timing of cutting interest rates -- but most members were more concerned about moving too early.
Traders will "be glossing over the hawkishly skewed details of the US Federal Reserve's January meeting", according to Innes.
"These minutes revealed that policymakers are concerned about the potential risks of cutting interest rates too soon."
