The Pakistan Stock Exchange’s (PSX) benchmark KSE-100 Index closed Monday’s session 490 points higher as some late-session profit taking trimmed early gains the index had made in the first half on political clarity and anticipation of corporate results.
The KSE-100 witnessed a strong buying spree at the start and hit an intra-day high of 63,732.50.
However, late-session selling cut the gains and the benchmark index closed at 63,305.93, up by 490.11 points or 0.78%.
Buying was witnessed in several sectors with auto, cement, oil & gas sectors stealing the limelight. Index-heavy stocks including OGDC, PPL and SNGPL were in the green during the early part.
Experts said the buying run came on the back of political clarity after provincial assemblies in Sindh and Punjab also began taking shape, which improved investor sentiment and helped the market bounce back.
Moreover, anticipation of strong corporate performance and developments on the economic front also supported the market’s bullish momentum.
On Monday, PPL and Engro were among notable companies to announce corporate results.
Internationally, Asian shares stalled near seven-month highs on Monday as investors awaited inflation data from the United States, Japan and Europe that will help refine expectations for future rate moves.
The Federal Reserve’s favoured measure of inflation – the core personal consumption expenditures (PCE) price index – is due on Thursday and forecasts are for a rise of 0.4%.
It was not long ago investors were hoping for just a 0.2% increase but high readings on consumer and producer prices suggest the risk is for a result as high as 0.5%.
MSCI’s broadest index of Asia-Pacific shares outside Japan dipped 0.3%, having climbed 1.7% last week to seven-month highs
During the previous week, the PSX witnessed a bullish trend and recorded healthy gains due to reviving investor interest following the agreement among major political parties to proceed with the formation of a coalition government.