There was no stopping the bulls at the Pakistan Stock Exchange (PSX), with the benchmark KSE-100 Index etching new records, settling above the 179,000 level for the first time on Friday.
Bullish momentum prevailed throughout the trading session, pushing the KSE-100 Index to an intra-day high of 179,467.83.
At close, the benchmark index settles at 179,034.93, an increase of 2,679.44 points or 1.52%.
“The record rally at PSX is largely driven by new-year positioning, strong liquidity, and expectations of further monetary easing,” Saad Hanif, Head of Research at Ismail Iqbal Securities, told Business Recorder.
The analyst noted that with inflation easing and real rates peaking, the market is pricing in a 50bps [basis points] policy rate cut in the upcoming Monetary Policy Committee (MPC) meeting.
“This is improving equity appeal against fixed income,” he said.
“Moreover, improving macroeconomic stability, a stable PKR, and better earnings visibility, especially in banks and cyclical have supported a forward-looking re-rating of equities.”
Meanwhile, Prime Minister Shehbaz Sharif Friday expressed satisfaction over the crossing of Stock Exchange 100 Index above 179,000 points.
He said crossing of Pakistan Stock Exchange above historic level was a reflection of confidence of business community and investors in government policies.
“Country’s journey of development continues due to hard work of economic team,” he said adding, “Efforts of economic team to improve country’s economic direction and take it on a path of development are commendable.”