PSX halted due to abnormal rally

July 03, 2023 (MLN):  In the backdrop of an abnormal rally, the Pakistan Stock Exchange (PSX) has halted within the first 10 minutes as the KSE30 index rose 5% at the start of trade.

The session will restart at 10:37pm.

Pakistan stock exchange (PSX) on Monday opened on a bullish note as investors responded positively to the long-standing Staff Level Agreement (SLA) worth $3 billion finally being signed on Friday between the International Monetary Fund (IMF) and Pakistan, while the stock market was close.

KSE100 index was up by 1,986.65 points or 4.79% at 43,439.34 points.

Index-based market halts if:

• The Exchange shall apply index-based market halt in case KSE-30 index moves 5% either way from its last day closing index value.
• In case, KSE-30 Index continues to trade 5%, above or below its last day closing index value for consecutive 5 minutes, the trading in all securities shall be halted for such duration as specified by the Exchange. Upon imposition of a market halt, the following measures shall be taken:

1. All equity and equity based derivative markets shall be suspended.
2. The market shall have a five (05) minutes pre-open before its re-opening.
3. NCCPL shall collect margins including Mark-to-Market losses from its Clearing Members as per its Regulations. Only those BCMs shall be allowed to trade after resumption of trading for that day which have deposited the required margins with NCCPL.

Provided that the market halt shall not be applicable in case KSE-30 index moves beyond 5% during such duration prior to close of the market as specified by the Exchange.

As required under the aforesaid clause, PSX hereby specifies the following time duration in this regard:

• The duration of Index-Based Market Halt shall be 60 minutes; and
• The Index-Based Market Halt shall not be applicable in the last 75 minutes prior to close of the market.

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