The Pakistan Stock Exchange (PSX) started the week on a strong note as the benchmark KSE-100 Index surged close to 1,000 points on Monday, showing bullish momentum in the market. The index ended the day at 114,230 points, reflecting an impressive increase of 982.77 points or 0.86% compared to Friday’s closing.
Investor activity was also heightened, with a total of 521.2 million shares traded during the day, up from 499.8 million shares on the previous trading day. The value of traded shares reached Rs. 28.29 billion, significantly higher than the Rs. 24.82 billion recorded on the last trading day.
A total of 448 companies were actively traded on Monday. Out of these, 279 companies saw their share prices rise, while 116 experienced losses. The prices of 53 companies remained unchanged, showcasing a largely positive trend for the day.
Market experts are optimistic about the upcoming Monetary Policy Committee (MPC) meeting. According to a note from Intermarket Securities, the market anticipates a 100 basis points cut in the policy rate, potentially bringing it down to 12%. This move could mark the end of the current easing cycle, boosting investor confidence further.
Additionally, the corporate results season is just around the corner. Analysts predict that strong payouts from the banking sector might enhance market sentiment, though the results from cyclical industries may not deliver significant surprises.
Meanwhile, Finance Minister Muhammad Aurangzeb shared encouraging news during an interview with Bloomberg’s “The Asia Trade.” He stated that Pakistan is now entering a phase of economic stabilization and is focusing on sustainable growth. The government is preparing to launch Yuan-denominated Panda Bonds worth $200-250 million this year, aiming to strengthen the country’s financial position and meet the International Monetary Fund’s (IMF) bailout conditions.
The overall market performance and positive news from the finance ministry have created a wave of optimism among investors. With promising developments on the horizon, the PSX is set to remain an area of interest for traders and analysts in the coming weeks.
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