PSX opens week in the green, gains more than 6,000 points during intraday trade

The Pakistan Stock Exchange’s (PSX) benchmark index opened the week on a strong note, gaining more than 6,000 points during intraday trade.

The KSE-100 index had gained 4,501.33 points to reach 175,522.53 points by 9:50am from the previous close of 171,021.20 points. By 10:30am, the index had gained 5,068.88 points to reach 176,090.08 points.

By 2:13pm, the index had gained 6289.50 points to reach 177,310.70 points.

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Awais Ashraf, director of research at AKD Securities, said investor sentiment improved after the US and Iran paused military strikes, raising hopes for a diplomatic resolution to the Middle East conflict and the resumption of shipping through the Strait of Hormuz.

“The easing of geopolitical tensions has also increased the likelihood that the State Bank of Pakistan (SBP) will maintain the policy rate in today’s monetary policy announcement,” he said.

“We expect the SBP to adopt a cautious stance and keep the policy rate unchanged at today’s Monetary Policy Committee meeting, as it is likely to assess further developments in the Middle East and the economic impact of the recent flood situation,” he said.

Nevertheless, the ongoing “disinflationary trend, a comfortable external account position, weakening leading economic indicators, and a contraction in money........

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