The Pakistani rupee strengthened against the US dollar, appreciating 0.01% in the inter-bank market on Wednesday.

At close, the local currency settled at 278.72, a gain of Rs0.03 against the greenback.

On Tuesday, the local unit closed at 278.75.

Moreover, the US dollar fell against most major currencies on Wednesday.

The Japanese yen strengthened sharply to a more than two-month high as markets braced for another intervention.

The euro stood at $1.1740 and sterling traded at $1.3594, both up roughly 0.4% so far on the day.

The Australian dollar fetched a four-year high of $0.7250, and the New Zealand dollar was up more than 1% at $0.5951, highest in nearly two months.

The dollar index fell nearly 0.3% to 98.026.

Meanwhile, oil prices extended declines on Wednesday, slumping to two-week lows after Axios reported that Washington believed it was close to a one-page framework agreement with Iran to end the war.

Brent crude futures fell $6.70, or 6.1%, to $103.17 a barrel by 0856 GMT after touching their lowest in almost two weeks. U.S. West Texas Intermediate lost $6.77, or 6.6%, to $95.50.

Both benchmarks were on track for their biggest daily declines in both percentage and absolute terms since mid-April, having shed about 4% in the previous session.