The Pakistan Stock Exchange (PSX) saw a sharp uptrend today as investors became more active anticipating a cut in interest rates.
The KSE-100 index gained 675 points to reach 78,705 points shortly before noon, reflecting growing investor confidence and market optimism.
At the beginning of the day, the KSE-100 index showed a positive trajectory, rising by 351 points to 78,381 points. The increase is attributed to widespread expectations that the State Bank of Pakistan will announce a cut in interest rates in a new monetary policy to be unveiled this evening.
Market analysts suggest that the expected decline in interest rates encourages investors to be more actively involved in the stock market, boosting share prices and contributing to the overall uptrend. The state bank’s monetary policy decision is eagerly awaited as it is expected to significantly affect market dynamics and investment strategies.
Expectations are high as analysts predict a possible interest rate cut, which is expected to be between one and 1.5%. This potential reduction is intended to stimulate economic growth and ease the financial burden on businesses and consumers in challenging economic conditions.
The MPC meeting will assess the current economic situation, the rate of inflation and other key economic indicators before reaching a decision. Following the meeting, Governor Jameel Ahmed will address reporters to detail the committee’s conclusions and the resulting monetary policy adjustments.
