The Pakistan Stock Exchange (PSX) witnessed a significant bullish trend today as investors became increasingly active, anticipating a reduction in interest rates.
The KSE-100 Index gained 675 points, reaching 78,705 points a little before noon, reflecting growing investor confidence and market optimism.
At the start of the day, the KSE-100 Index showed a positive trajectory, rising by 351 points to reach 78,381 points. This surge is attributed to the widespread expectation that the State Bank of Pakistan will announce a reduction in interest rates in the new monetary policy, set to be revealed this evening.
Also Read: State Bank of Pakistan to announce new monetary policy today
Market analysts suggest that the anticipated decrease in interest rates is encouraging investors to engage more actively in the stock market, driving up share prices and contributing to the overall bullish trend. The State Bank's monetary policy decision is eagerly awaited, as it is expected to influence market dynamics and investment strategies significantly.
Anticipation is high as analysts predict a possible reduction in the interest rate, expected to be between one and 1.5%. This potential cut aims to stimulate economic growth and ease the financial burden on businesses and consumers amid challenging economic conditions.
The MPC meeting will assess the current economic landscape, inflation rates, and other key economic indicators before reaching its decision. Following the meeting, Governor Jameel Ahmed will address the press to detail the committee's conclusions and the resulting monetary policy adjustments.
