Karachi: Buying activity returned to the Pakistan Stock Exchange on Wednesday after recent selling pressure, as optimism over expected International Monetary Fund inflows boosted investor confidence. The benchmark KSE-100 index rose more than 900 points within minutes of opening.
By 9:35am, the index stood at 169,329.62, gaining 917.39 points, or 0.54 percent. Market analysts described the recovery as a positive technical development, noting that holding above the 169,000 level could support further upward momentum. Consequently, investors are now eyeing the 170,000 mark as a psychological barrier.
Buying interest emerged across major sectors, including automobile assemblers, cement, commercial banks, and oil and gas exploration firms. Additionally, oil marketing companies, power generation firms, and refineries recorded gains. Key index-heavy stocks traded in positive territory, contributing to the early rally.
Meanwhile, Finance Minister Muhammad Aurangzeb stated that Pakistan has met most IMF conditions and expects approval of a $1.2 billion tranche on May 8. He added that the decision would unlock external financing and support the country’s balance of payments. Furthermore, an IMF mission is expected later in May to discuss the upcoming budget.
However, Tuesday’s session had closed lower after the State Bank unexpectedly raised the policy rate by 100 basis points, triggering broad-based selling. The index ended down 0.64 percent amid persistent volatility.
Globally, markets showed mixed trends. Asian equities slipped slightly, while oil prices edged higher due to stalled Iran negotiations. US markets also declined overnight, reflecting investor caution ahead of key economic decisions.
