KSE-100 Index up 0.96pc on the hopes of reduction in inflation
Business
Upward movement comes despite the fact that the SBP kept the interest rates unchanged
KARACHI (Web Desk) – Improvement in inflation indicators enabled the Pakistan Stock Exchange (PSX) surge on Tuesday despite the fact that the central bank’s Monetary Policy Committee decided to maintain the interest rates at the current 22% level.
The clarity brought by and points noted by the State Bank of Pakistan (SBP) a day earlier helped the investors fuel the bullish trend.
It noted that inflation had begun to decline noticeably in the second half of the current fiscal year. However, it noted that despite the sharp deceleration in February, the level of inflation remained high and the outlook was susceptible to risks amidst elevated inflation expectations.
“This warrants a cautious approach and requires continuity of the current monetary stance to bring inflation down to the target range of 5–7% by September 2025.”
By the time trading ended for the day, the benchmark KSE-100 Index was up 0.96%, or 612.09 points, thus closing at 65,502.59.
