The Pakistani rupee strengthened against the US dollar, appreciating 0.08% during the opening minutes of trading in the inter-bank market on Wednesday. At 10:30am, the local currency was hovering at 279.93, a gain of Re0.23 against the greenback. On Tuesday , the local unit closed at 280.16. The SBP purchased a hefty $1 billion worth of forex from the interbank market in September 2025, signalling a marked increase in its market intervention amid improving external inflows. With the latest purchase, the SBP’s total foreign exchange intervention over the last year, from October 2024 to September 2025, has reached $6.9 billion, reflecting sustained efforts to shore up foreign exchange reserves. Internationally, the US dollar held steady on Wednesday but was headed for its biggest annual drop since 2017 as interest rate cuts, fiscal worries and erratic trade policies under US President Donald Trump cast a shadow on currency markets in 2025. Many of those worries are likely to remain in 2026, suggesting the dollar’s dire performance could extend and underpin the behaviour of some of its rivals, including the euro and sterling, that have made significant gains this year. Adding to the dollar’s woes, concerns about the Federal Reserve’s independence under the Trump administration remain in focus. The euro was steady at $1.1747, and the pound last bought $1.3463 on the last trading day of the year. Both are poised for their biggest yearly gains in eight years. The dollar index, which measures the US currency versus six other major currencies, was at 98.228, holding onto its overnight gains. The index has declined 9.5% in 2025 while the euro gained 13.5% and the pound surged 7.6%. Oil prices , a key indicator of currency parity, were little changed on Wednesday but are set to fall more than 15% for 2025, as supply outpaced demand in a year marked by wars, higher tariffs and OPEC+ output and sanctions on Russia, Iran and Venezuela. Brent crude futures, down nearly 18% - the most substantial annual percentage decline since 2020 - are on track for a third straight year of losses, their longest-ever losing streak. The March contract, which expires on Wednesday, rose 11 cents to $61.44 a barrel at 0451 GMT. This is an intra-day update