Bores on Thursday gained their rapid pace, reversing the loss of the previous season as investors positively responded to a series of economic growth, including fitch’s credit rating upgrade upgrade and a fall in global oil prices.
The Pakistan Stock Exchange (PSX) benchmark KSE-100 index reached a higher level of 117,216.02, secured 1,195.92 points or 1.03%in the previous close of 116,020.10. The session was recorded at a low of 115,818.07, which represents a minor dip of 202.03 points or 0.17%.
Afaz Mustafa, CEO of Ismail Iqbal Securities, said, “The markets are happy to make various news, including upgrades from Fitch, a resolution of circular loan and a major fall in oil prices.”
He said, “The expectations of coupled inflation with taxation relief on the decline in oil prices and the transaction of real estate are leading to all positive feelings,” he said.
The investor’s confidence with the decision of fitch ratings earlier this week was instigated to upgrade Pakistan’s long-term foreign-currency default default rating with a stable approach to ‘B-‘ to ‘CCC+’. The agency improved strong macroeconomic management under better fiscal consolving, a stable exterior account, and ongoing IMF program.
The macroeconomic spirit was further removed by the March Consumer Price Index data, with the lowest monthly reading inflation in seven years to slow down by 0.69%.
In another indication of improving economic sentiment, the government successfully raised 965 billion rupees through the market Treasury Bill (T-Bill) auction, which is more than Rs 850 billion.
Cut-off yields declined slightly on one month and six-month tenors, while flat remaining for others. Additionally, RS261 billion was raised against a target of Rs 400 billion through Pakistan Investment Bonds (Floatrs).
State Bank of Pakistan (SBP) Governor Jamil Ahmed expressed optimism earlier this week that the fall in oil prices recently would help offset the impact of mutual American tariffs.
Last week, US President Donald Trump announced a 90-day stagnation on new tariff measures, first offered space for negotiations after implementing 29% of duties on Pakistani exports.
On Wednesday, PSX abolished the streak of its two -day win, which fell 755.4 points or 0.65% to close at 116,020.11.
