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KARACHI: The Pakistan Stock Exchange’s (PSX) KSE-100 Index reached a record high on Wednesday, fueled by optimism in the capital market.
Expectations of a reduction in the State Bank of Pakistan (SBP) policy rate caused the benchmark index to rise 728 points, or 0.84%, to close at 87,195.54.
Market gains on rate cut expectations, K-Electric surge
According to an analyst at Topline Securities, capital market traders were encouraged by the prospect of a rate drop in the monetary policy announcement scheduled for November 4, 2024.
“Investor enthusiasm for K-Electric also surged following the recent announcement that the National Electric Power Regulatory Authority (NEPRA) has approved the generation tariff for all its power plants effective after June 2023,” the analyst said.
Profits were highest for key PSX participants such as Hub Power Company (HUBCO), K-Electric Limited (KEL), Oil and Gas Development Company (OGDC), Pakistan Petroleum Limited (PPL), and Attock Refinery Limited (ATRL).
As per the Topline Securities analyst, “Trading activity remained vigorous, with 696 million shares exchanged, totaling Rs 26 billion. KEL was the most actively traded stock, with an impressive 207 million shares transacted.”
K-Electric Ltd. led the trading volume with 207.63 million shares exchanged, followed by WorldCall Telecom at 42.92 million shares and Pakistan International Bulk Terminal (PIBT) at 33.97 million shares.
The Pakistan Stock Exchange has 447 companies listed, with 214 showing increases, 173 showing decreases, and 60 remaining unchanged.
Earlier in the day, the KSE-100 Index had reached a new high of 86,466.58 points, reflecting an increase of 409.06 points, or 0.48%.
