PSX continues record-breaking streak on strong corporate earnings, rate cut hopes

KSE-100 Index surges to an intra-day high of 91,358.15 points before closing at 90,864.09


News Desk October 30, 2024
Segregation of client assets is critical as brokers have been penalised for using client money illegally. PHOTO: AFP

The Pakistan Stock Exchange (PSX) maintained its upward momentum on Tuesday, with the benchmark KSE-100 Index reaching a new record, boosted by robust corporate earnings and speculation of an imminent interest rate cut. 

The KSE-100 Index surged to an intra-day high of 91,358.15 points before closing at 90,864.09, marking an increase of 668.58 points or 0.74% for the day.

The rally was primarily driven by better-than-expected corporate earnings, bolstering investor confidence and attracting institutional buying, according to brokerage firm Topline Securities. 

Key contributors included Fauji Fertilizer Company (FFC), Systems Limited (SYS), Cherat Cement Company (CHCC), Hub Power Company (HUBC), and GlaxoSmithKline (GLAXO), which collectively added 515 points to the index.

Following weeks of gains, the PSX continued to attract investor interest, fueled by optimistic market expectations for a rate cut in the upcoming monetary policy review and a favourable earnings season. This bullish trend began earlier in the week, with the index closing Monday at a then-record high of 90,195.52 points.

Trading volume on the all-share index increased to 602.81 million shares from Monday’s 567.26 million, though the total value of shares traded dipped to Rs28.20 billion, down from Rs29.21 billion in the previous session.

Of the 440 companies traded on Tuesday, 171 saw an increase in share prices, 219 recorded declines, and 50 remained unchanged.

Meanhwhile, the rupee registered a slight depreciation of 0.02% against the US dollar, closing at 277.74 in inter-bank trading. 

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