Buying Spree Continues at PSX, Gains Nearly 1,000 Points

Stock market closes at 114,230.06 points showing a change of 0.87%.

Mon Jan 13 2025
icon-facebook icon-twitter icon-whatsapp

ISLAMABAD: The Pakistan Stock Exchange (PSX) witnessed a buying rally on Monday, as the benchmark KSE-100 Index gained nearly 1000 points.

At close, the benchmark index settled at 114,230.06, an increase of 982.77 points or 0.87%.

Buying was recorded in key sectors including automobile assemblers, cement, chemical, commercial banks, fertilizer, power generation, oil and gas exploration companies and OMCs trading in the green. Index-heavy stocks including HUBCO, SSGC, SHEL, PSO, PPL, POL, ENGRO, HBL, MEBL, UBL and NBP traded in the green.

“Market will look forward to the next Monetary Policy Committee (MPC), in which consensus expectations should be for a 100bps cut to a policy rate of 12% and a potential conclusion of the easing cycle in the near term,” said Intermarket Securities in a note on Monday.

“Results season should start soon as well, where bank payouts may lift investor mood; however, results from cyclical sectors may not impress much,” it added.

During the last week, the PSX remained under selling pressure and closed in red with heavy losses as the investors opted to pull out their holdings on available margins.

The benchmark KSE-100 dropped by 4,339.69 points on a week-on-week basis and closed at 113,247.29 points.

Global stocks in Asia declined on Monday, while the dollar remained near 14-month highs following a strong payrolls report that pushed bond yields higher and challenged elevated equity valuations as the earnings season begins.

Markets have already scaled back expectations for Federal Reserve rate cuts, now anticipating only a 27 basis point reduction for all of 2025. The terminal rate is now projected to be around 4.0%, compared to the 3.0% many had hoped for at this time last year.

icon-facebook icon-twitter icon-whatsapp