Pakistan stocks rally due to strong corporate earnings
KSE-100 index gained 0.48% to close at 86,466.58 points
Pakistan stocks gained on Tuesday driven by institutional buying and strong corporate earnings.
For September 2024, Pakistan reported a current account surplus of $119 million, reversing a $218 million deficit from September 2023. This marks the second consecutive month of surplus.
Moreover, October's CPI is expected to be around 6.3%, lowering the average inflation rate for 4MFY25 to 8.50% from 28.48% last year.
The KSE-100 index gained 0.48% or 409.06 points to close at 86,466.58 points.
On Tuesday, the Indian stocks experienced a significant selloff due to global uncertainties. The market started weak, continuing the negative trend from Monday. Major stocks like Reliance Industries, SBI, HDFC Bank, M&M, and L&T led the decline, causing the BSE Sensex to drop by 505 points. Other contributors to the fall included TCS, NTPC, Tata Motors, Axis Bank, and Power Grid.
India’s BSE 100 Index lost 1.49% or 390.75 points to close at 25,805.85 points.
The Dubai Financial Market (DFM) General Index lost 0.24% or 10.61 points to close at 4,467.35 points.
Commodities
Crude oil prices rose on Tuesday due to geopolitical risks from the Middle East, especially the conflict between Israel and Hamas.
U.S. Secretary of State Antony Blinken’s efforts for a ceasefire have kept the market on edge about potential supply disruptions.
The escalation in Gaza and concerns about conflict in Lebanon have pushed Brent and WTI prices up. However, weakening demand growth from China, the world’s top oil importer, remains a major concern for traders.
Brent crude prices surged 1.04% to $75.06 per barrel.
Gold prices rose on Tuesday due to geopolitical tensions, U.S. election uncertainties, and potential interest rate cuts.
Gold, seen as a safe investment during uncertain times, reached a record high of $2,740.37 on Monday and has increased by 32% this year.
The demand for gold is driven by central bank rate cuts, geopolitical instability, and election uncertainties. Despite a stronger U.S. dollar and higher Treasury yields, gold’s momentum remains strong, outweighing weaker physical demand and higher supply.
International gold prices increased 0.61% reaching $2,738.03 per ounce. In Pakistan, gold prices increased by PKR 1,100 to PKR 283,400/tola on Tuesday.
Currency
US dollar gained further against PKR, up 0.02% in the inter-bank market. Pakistani currency settled at 277.73, a gain of 05 paisas against the US dollar. In the open market USD was trading at PKR 280.
Popular
Spotlight
More from Business
Pakistan stocks continue rally on gains in oil and banking sector
KSE-100 index gained 0.75% to close at 109,054 points
Comments
See what people are discussing