Stock market pushes upwards despite selling, foreign outflow pressures

KARACHI: The Pakistan Stock Exchange (PSX) experienced a bullish trend on Tuesday (yesterday), buoyed by robust local investor interest and institutional support, despite continued foreign selling.

Yesterday, the benchmark KSE-100 index climbed 690.39 points, or 0.85 per cent, closing at 81,804.59 points. It briefly touched an intraday high of 81,980.37 points before some profit-taking trimmed gains in certain stocks.

Pakistan’s trade deficit widens by 20.4 per cent in September as imports rise

On Wednesday (today), the index continued with the positive sentiment, although the rate of growth significantly slowed down. After opening at 81,804.59 points, the index touched the high of 81,948.74 points within an hour of trading, but then slowed down to 81,810.51 points, merely 5 points up from opening.

Trading activity improved, with daily volumes on the ready counter rising to 359.08 million shares compared to 297.99 million shares on Monday. The total value of shares traded also surged to Rs 17.16 billion, up from Rs 14.1 billion in the previous session.

Despite foreign investors pulling out $4.98 million, the overall market capitalisation increased by Rs 93 billion, reaching Rs 10.71 trillion.

Inflation hits 44-month low, outperforming projections

One of the factors lending strength to the market on the macroeconomic front, is Pakistan’s inflation dropping to 6.9 percent in September 2024, down from 9.6 percent in August, marking the lowest rate in 44 months. Optimism over a potential rate cut added to the investor confidence.