The stock market on Friday enhanced its record-breaking streak, fuel by positive investor Bhavna on the government’s power relief package, falling inflation and optimism of the International Monetary Fund (IMF) program.
The Pakistan Stock Exchange (PSX) benchmark KSE-100 index increased to the intraday high of 120,796.67, obtained 1,858.56 points or 1.56%. The day of the day was recorded at 119,085.73, while the market was strongly opened in green, which expanded Thursday’s strong post-EID profit.
Afaz Mustafa, CEO of Ismail Iqbal Securities, said, “The market yesterday created a new high place on a permanent plan to solve electricity and spherical loans. This gave the market a shot of confidence.”
“This was again coupled with a multi-decay of inflation on inflation, and the expectations of obtaining IMF trenches are taking the market to a new height.”
Bulish speed has been announced by Prime Minister Shahbaz Sharif on Thursday, who has reduced power tariffs per unit for domestic consumers and by Rs7.59 for industrial units.
Premier called it an important step to reduce economic burden on homes and promote industrial competition. The move followed the approval from the IMF, which had earlier approved the RE1 per kilowatt deficiency in the utility rates under the $ 7 billion Extered Fund Facility (EFF).
In further promoting Bhavna, inflation data released by Pakistan Bureau of Statistics (PBS) increased the inflation of the Consumer Price Index (CPI) in March 2025 only 0.7% year-over in March 2025, which was below 1.5% in February and dramatically lodged in March 2024.
Analysts of Arif Habib Limited (AHL) described it as the lowest inflation reading since December 1965. Depending on the month of the month, the CPI rose 0.9% in March, compared to 0.8% in the previous month.
The average CPI inflation for the first nine months of the financial year (9mfy25) is now 5.25%, compared to 27.06% in 9mfy24, the State Bank of Pakistan (SBP) greatly strengthens the expectations for further monetary ease.
The market had already set a rapid tone on Thursday, the first trading session after the long Eid holidays. The KSE -100 index increased by 1,131.36 points, or 0.96%, closed at 118,938.11, above 117,806.75. The index touched a low of 119,179.46 and 117,508.07 during the session.
