Bullish trend in PSX, 100-Index crosses 91,000 points

KARACHI: The 100-Index of the Pakistan Stock Exchange (PSX) crossed 91,000 points’ barrier on the first day of the business week, ARY News reported.

The bullish trend carried the Index to historic high which closed at 91,938 points, gaining 1078 more points. The Index gained 1300 points at a time in trading and crossed 92,000 points level.

The analysts said that expected cut in the interest rate and better economic indicators have boosted the investors’ confidence.

The increase reflects growing investor confidence in Pakistan’s economic policies and overall stability.

The State Bank of Pakistan (SBP) will announce its monetary policy today for the next two months.

The SBP made a major cut in the interest rate by reducing 200 basis points in the interest rate in September by two percent to 17.5%.

The capital market anticipating reduction of 200 basis points today, which would bring the rate to 15.5%, following a second consecutive month of single-digit inflation, with October’s reading at 7.2%.

The business bodies demanding of the SBP to reduce its key policy rate by 400-500 basis points, bringing it down to 12.5-13.5% from the current 17.5 percent.