Intra-day update: rupee records gain against US dollar

The Pakistani rupee strengthened against the US dollar, appreciating 0.07% during the opening minutes of trading in the inter-bank market on Wednesday. At 10am, the local currency was hovering at 280.00, a gain of Re0.21 against the greenback. On Tuesday, the local unit closed at 280.21. Internationally, the US dollar was headed for its worst annual performance in more than two decades on Wednesday as investors wagered the Federal Reserve would have room to cut rates further next year, even as some of its peers looked set to hike. The greenback stayed on the back foot in Asia trade, with a solid US GDP reading failing to move the dial on the rate outlook, leaving investors pricing in roughly two more Fed cuts in 2026. Against a basket of currencies, the dollar fell to a 2-1/2-month low of 97.767, and was on track to lose 9.9% for the year, which would mark its steepest annual drop since 2003. The US dollar has had a tumultuous year, whipsawed by President Donald Trump’s chaotic tariffs, which sparked a crisis of confidence in U.S. assets earlier this year. His growing influence over the Fed has also raised concerns about its independence.