At this moment in time i would suggest to anyone not to change their money into PKR , the USD is set to rise against the PKR and you will notice this in the time to come . There aare quite a few reasons for this but i will just state the obvious
a- fundamentally all the indicators are pointing in the wrong direction for pakistan
b- you must remeber the usd is weak as measured against the cprx data of a basket of major ccy's
c- the cross correlation between the dollar and the pkr is at its lowest since 2002
d- Pakistan has a 500Million EUR defulat swap maturing in february on their end which means they would pay out essentially whats this means is a heavy outward bound remittance if we default on we would be declared marginally bankrupt
e- The lowering of the Pakistans credit rating as an entity , you must remeber your current credit rating affects your interest on previous , current and future loans ( Pakistan was downgraded from BBB to B- the next stage is C which essentially means bankrupt )
Anyways the list could go on and on and on but trust me on this PKR is headed down for the next whole year ( resistance will be at 120) . Anyfurther information feel free to shoot me an email .
P.s. im not making this up i work in a major american investment bank covering emerging markets .
