KSE-100 Index hits all-time high

September 19, 2024 (MLN): Pakistan's benchmark stock index breached 81,950 to a fresh record high after key economic reports showed the country's economy is moving towards stability.

Traders also ramped up bets for further outsized interest rate cuts by the central bank after the government unexpectedly rejected all the bids for Market Treasury Bills (MTBs) Wednesday.

The benchmark KSE-100 Index surged 1,492 points or 1.85% to 81,953.35 during intraday trade.

The index is up a significant 19,502 points or 31.2% so far this year.

The country's current account posted a surplus of $75 million after three consecutive monthly deficits. In the first two months of current fiscal year, the deficit narrowed by 80.9% to $171m from $893m in 2MFY24.

The external account position improved largely due to home remittances despite upsurge in imports.

Moreover, the cash-strapped nation attracted $214m Foreign Direct Investment (FDI) in August, up 50.7% compared to the same period last year (SPLY). The country also received $165m through Roshan Digital Accounts (RDA) during the month.

Pakistan inflation rate fell to single digits in August after almost three years. The consumer price gains are expected to further slow in September, according to MG Research calculations.

In the broader market, the All-Share Index was at 52,289.58 with a net gain of 614.57 points or 1.19%.

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