- Benchmark index settles at 180,301.70
Bulls returned to the Pakistan Stock Exchange (PSX), with the benchmark KSE-100 Index gaining over 1% during the trading session on Tuesday.
Trading remained positive throughout the session, with the index opening on a firm note and quickly climbing above the 180,000-point mark.
Although some profit-taking emerged around mid-day, causing the benchmark to briefly retreat toward the 179,400-179,500 range.
Strong buying interest resurfaced during the final hour of trading, lifting the KSE-100 to an intra-day high of 180,150.41.
At close, the benchmark index settled at 180,301.70, up by 1,886.91 points or 1.06%.
“This positivity can be attributed to recovery after yesterday’s negative session, as investors factored in lower oil prices,” brokerage house Topline Securities said in its post-market report.
Top positive contribution to the index came from FFC, HUBC, UBL, ENGROH, MARI and LUCK, as they cumulatively contributed 1,324 points to the index, Topline said.
On Monday, PSX came under renewed selling pressure as investor sentiment weakened following fresh geopolitical uncertainty over the weekend, prompting widespread profit-taking that dragged the market, erasing the previous session’s gains. The KSE-100 Index declined by 1,156.47 points, or 0.64%, to close at 178,414.80 points.
Every month, the KSE-100 Index recorded 3.6% increase.
The increase was driven by “improved investor sentiment following the ceasefire/peace agreement between the United States and Iran”, Topline said.
“The easing of geopolitical tensions reduced concerns over regional instability and oil price volatility, encouraging investors to increase their exposure to equities. This positive sentiment, combined with expectations of improved economic stability, supported the upward movement in the KSE-100 Index.”
Globally, Asian stocks wobbled toward the end of a sparkling quarter on Tuesday, while a resurgent dollar pushed the yen to a four-decade low and was headed for a fourth straight quarterly rise.
Japan’s Nikkei, which was steady in early trade, is set for a record rise of more than 36% for the quarter. South Korea’s chipmaker-driven KOSPI slipped 1%, though it was set for an eye-popping second-quarter rise of nearly 65%, having more than doubled year-to-date.
The oil market’s worries about war have receded into memory with benchmark Brent crude futures at pre-war prices of $72.49 a barrel, even though the interim ceasefire is strained.
Wall Street indexes rose overnight, and futures were flat in the Asian morning. The dollar eyed a quarterly rise thanks to a remarkable re-pricing of the U.S. interest rate outlook, which has flipped from cuts to hikes on U.S. economic strength and inflationary pressures.
The dollar’s rise has driven gold to its largest quarterly fall in more than a decade, while the yen touched a four-decade trough of 162.41 per dollar in Asian trade, setting traders on edge about possible Japanese intervention.
Meanwhile, the Pakistani rupee posted a marginal gain against the US dollar in the inter-bank market on Tuesday. At close, the local currency settled at 278.16, a gain of Re0.01 against the greenback.
Volume on the all-share index decreased to 703.69 million from 869.38 million recorded in the previous close.
The value of shares rose to Rs38.81 billion from Rs43.95 billion in the previous session.
Pak Int. Bulk was the volume leader with 58.25 million shares, followed by Kohinoor Spinning with 38.74 million shares.
Shares of 499 companies were traded on Tuesday, of which 301 registered an increase, 162 recorded a fall, and 29 remained unchanged.
Reference Link:- https://www.brecorder.com/news/40427850