PSX closes positive, gains 690 points

KARACHI: The KSE-100 index of the Pakistan Stock Exchange (PSX) on Tuesday closed on a positive note, with the benchmark index climbing 690.39 points to settle at 81,804.59 points, marking a 0.85 percent increase, against the previous day close of 81,114.20 points, ARY News reported.

The KSE-100 market hit a high of 81,980.36 points during the session, while the day’s low was recorded at 81,119.24 points.

Trading volume stood at 359 million shares, with a total value of PKR 17.16 billion exchanged in 203,081 trades.

Out of 435 stocks traded, 242 record gains, 139 sustained losses, and 54 remained unchanged.

A day earlier, the PSX benchmark KSE-100 Index depicted robust momentum during September 2024 experiencing a notable rise, gaining 2,626 points, or 3.3 percent month-over-month, to close at 81,114 points.

At the start of the month, the announcement of single-digit inflation of 9.6% –a 34-month low– renewed investors’ expectations of a rate cut in the Monetary Policy Committee (MPC) meeting on September 12, 2024. Consequently, the State Bank of Pakistan (SBP) continued its monetary policy easing cycle, cutting the policy rate by 200 basis points (bps) to 17.5%, a move not seen since April 2020.

Moreover, a 50 basis points (bps) Federal Reserve (FED) rate cut also boosted market participation across Asian markets, including the local bourse, according to AHL report.

In addition to this, the International Monetary Fund’s (IMF) executive board (EB) meeting was held on September 25, 2024, in which the extended fund facility (EFF) worth USD 7 billion was approved. Later in the week, the first tranche of USD 1 billion was disbursed.

This event resulted in the PSX’s KSE-100 Index reaching its highest-ever level of 82,248 points on a closing basis, according to AHL. However, subsequent profit-taking resulted in the market closing below the 82,000 level.