Stocks surge, KSE-100 gains over 600 points in early trade
At 9:40am, the benchmark index was hovering at 147,630.54, an increase of 625.22 points or 0.43%.
Buying interest was observed in key sectors including automobile assemblers, commercial banks, fertiliser, oil and gas exploration companies, OMCs and refinery. Index-heavy stocks including ARL, OGDC, POL, SNGPL, HBL, MCB, MEBL and NBP traded in the green.
Analysts say strong corporate earnings and anticipation of investments from the United States in key sectors, including energy, are driving the positive sentiment at the bourse.
On Tuesday, the PSX navigated a turbulent session, closing at a record high despite heavy profit-taking by investors keen to lock in recent gains.
The benchmark KSE-100 Index ended just 75.48 points, or 0.05% up, at 147,005.32 points.
Globally, stocks in Asia climbed and the US dollar was subdued on Wednesday, as data showed both resilience in major economies and the need for central banks to remain accommodative.
Wall Street scaled new heights on Tuesday, driven by increasing certainty that the Federal Reserve will cut interest rates next month. Japan's Nikkei broke through the 43,000 level for the first time, and cryptocurrency ether rose to an almost four-year high.
The highly anticipated US inflation readings indicated President Donald Trump's tariff regime had yet to filter down to consumer prices. In Japan, a report showed manufacturers grew more confident about business conditions after a trade agreement with the United States.
The MSCI All Country World Index of shares climbed for a second day to reach 948.54, a new all-time high. Japan's Nikkei stock index rose 1.4%, also setting a new peak for a second-straight session.
This is an intra-day update
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Business Recorder
4 hours ago
- Business Recorder
Dollar extends losses
NEW YORK: The dollar fell for a second straight session on Wednesday, a day after a US inflation reading increased expectations of a Federal Reserve rate cut next month, and renewed pressure from President Donald Trump for lower rates added to the sell-off. The dollar index, measuring the currency against a basket of peers, fell 0.2% to 97.81, its lowest since July 28, extending its 0.5% drop on Tuesday. US consumer prices increased marginally in July, data showed on Tuesday, in line with forecasts and as the pass-through from Trump's sweeping tariffs to goods prices has so far been limited. Investors priced in a 98% chance the central bank would ease rates next month, according to LSEG data. On Wednesday, Treasury Secretary Scott Bessent called for a 'series of rate cuts,' and said the Fed could kick off the policy rate easing with a 50 basis point cut. The day before, US President Donald Trump, who has repeatedly criticised Fed Chair Jerome Powell for not easing rates sooner, had added to the pressure on the Fed. White House spokeswoman Karoline Leavitt said that the president was considering a lawsuit against Powell in relation to his management of renovations at the central bank's Washington headquarters. 'I think there is quite significant pressure on the Fed from the political side of Washington to get moving on interest rates,' Shaun Osborne, chief currency strategist at Scotiabank, said. Michael Pfister, FX analyst at Commerzbank, said these political developments carried echoes of autocratic countries, where heads of statistics agencies or central banks are replaced and critical data series often discontinued or manipulated. 'I'm not saying that this will necessarily happen here. But the developments of the last few days and weeks do not exactly fill me with optimism about the future, or the US dollar,' Pfister said. Trump also hit out at Goldman Sachs CEO David Solomon, saying the bank had been wrong to predict US tariffs would hurt the economy. Trump questioned whether Solomon should lead the Wall Street institution. The dollar's weakness supported the euro and sterling. The single currency was last up 0.3% to $1.1705, briefly hitting its highest since July 28. Similarly, the British currency rose 0.5% to $1.3572, briefly hitting its highest since July 24. Britain's jobs market weakened again, though wage growth stayed strong, according to data on Tuesday, underscoring why the Bank of England is so cautious about cutting interest rates. The Australian dollar was up 0.3% to $0.6550, while the New Zealand dollar rose 0.5% to $0.5982. The Reserve Bank of Australia on Tuesday cut interest rates as expected, and signalled further policy easing might be needed to meet its inflation and employment goals as the economy lost some momentum. In cryptocurrencies, ether scaled a nearly four-year high of $4,734.47.
Business Recorder
15 hours ago
- Business Recorder
Rupee extends winning streak against US dollar
Rupee's Performance Against US Dollar Since 04 March 2025 The Pakistani rupee maintained its upward momentum against the US dollar, appreciating 0.07% in the inter-bank market on Wednesday. At close, the currency settled at 282.22, a gain of Re0.20. On Tuesday, the rupee had closed at 282.42. This marks the fifth successive session of appreciation for the rupee, supported by improved sentiment in the currency market amid an ongoing crackdown by the law enforcement agencies against illegal currency dealers and smugglers. Last week, a Pakistan court sentenced three illegal currency dealers to five years in prison and imposed a fine of Rs1 million on each for their involvement in unlawful foreign exchange trading. Internationally, the US dollar weakened on Wednesday after a tame reading on US inflation bolstered expectations of a Federal Reserve rate cut next month, with President Donald Trump's attempts to extend his grip over US institutions also undermining the currency. US consumer prices increased marginally in July, data showed on Tuesday, in line with forecasts and as the pass-through from Trump's sweeping tariffs to goods prices has so far been limited. Investors eyeing imminent Fed cuts cheered the data and moved to price in a 98% chance the central bank would ease rates next month, which in turn dragged on the dollar. Against the yen, the dollar was last 0.05% lower at 147.76, while the euro was steady at $1.1676, having risen 0.5% in the previous session. The dollar index last stood at 98.08, after falling roughly 0.5% on Tuesday. US Treasury yields similarly fell on the heightened rate cut expectations, with the two-year yield last at 3.7371%, having swung in a range of nearly 10 basis points on Tuesday. The benchmark 10-year yield was little changed at 4.2965%. Oil prices, a key indicator of currency parity, erased losses on Wednesday after U.S. Treasury Secretary Scott Bessent said sanctions against Russia or secondary tariffs could go up if Friday's meeting between President Donald Trump and Russian President Vladimir Putin does not go well. Brent crude futures edged up 6 cents to $66.18 a barrel by 1243 GMT, while U.S. West Texas Intermediate crude futures were up 2 cents to $63.19. Inter-bank market rates for dollar on Wednesday BID Rs 282.22 OFFER Rs 282.42 Open-market movement In the open market, the PKR gained 10 paise for buying and lost 8.93 rupees for selling against USD, closing at 283.70 and 293.83, respectively. Against Euro, the PKR lost 2.30 rupees for buying and 2.28 rupees for selling, closing at 331.25 and 333.38, respectively. Against UAE Dirham, the PKR gained 9 paise for buying and 6 paise for selling, closing at 77.19 and 77.49, respectively. Against Saudi Riyal, the PKR gained 4 paise for both buying and selling, closing at 75.49 and 75.81, respectively. Open-market rates for dollar on Wednesday BID Rs 283.70 OFFER Rs 293.83
Express Tribune
15 hours ago
- Express Tribune
Stocks give up early gains, succumb to profit-booking
The Pakistan Stock Exchange (PSX), after kicking off the new trading session on an upbeat note on Wednesday, gave up early optimism over profit-booking pressure. By the close of trading, the benchmark KSE-100 index recorded a loss of 476 points, or 0.32%, at 146,529. In the morning, stocks showed impressive movement, which took the index to intra-day high of 147,892. However, at midday the market began to lose steam as traders grew increasingly risk averse. It resulted in a steady pullback, pushing the index to the day's low at 146,418. The downturn was largely attributed to profit-booking. Arif Habib Limited (AHL) Head of Research Sana Tawfik told The Express Tribune that the stock market started off on a positive note but lost early momentum due to profit-taking and closed lower. 'As expected, it is a consolidation phase at current levels following a streak of record-breaking rallies,' she said. 'However, the sentiment is expected to turn positive in the backdrop of several factors such as Moody's credit rating upgrade for Pakistan to Caa1 from Caa2 and robust financial results. Profit-taking is also expected to continue simultaneously,' she added. KTrade Securities, in its market wrap, noted that the KSE-100 index remained range bound as investors continued to take profit. The index lost 476 points and closed at 146,529 after hitting intra-day high of 147,892 and low of 146,418. Cement stocks performed positively while fertiliser and oil and gas sectors lost ground, it said. Key gainers included Lucky Cement, Habib Bank, Meezan Bank and National Bank. On the flip side, Fauji Fertiliser, Engro Fertilisers, Pakistan Petroleum and MCB Bank pulled the index down. The uptrend may continue, however, some consolidation is likely as the index hovers around record highs, KTrade concluded. Overall trading volumes decreased to 647.1 million shares compared with Tuesday's tally of 691.7 million. Traded value stood at Rs40.9 billion. Shares of 487 companies were traded. Of these, 199 stocks closed higher, 240 dropped and 48 remained unchanged. Yousuf Weaving was the volume leader with trading in 51.8 million shares, gaining five paisa to close at Rs6.14.
