Pakistan stocks rise on current account surplus and positive economic reforms
KSE-100 index gained 0.24% to close at 94,995.67 points
Pakistan's stock market ended on a positive note after current account posted a surplus of $349 million in October.
The market experienced some volatility during the trading session.
Fertilizer, oil & gas exploration companies, and cement sectors were the main contributors. Investors considered rising foreign exchange reserves, the finance minister ruling out a mini-budget, and positive meetings with the International Monetary Fund (IMF), all of which helped drive the bullish activity at the Pakistan Stock Exchange (PSX).
KSE-100 index gained 232.03 points or 0.24% to close at 94,995.67 points.
Separately, Indian stocks closed lower on Monday, affected by weak global signals. The market continued to consolidate, with slower earnings growth and a weak rupee due to inflation affecting sentiment.
IT stocks fell as expectations of a FED rate cut in December decreased, potentially delaying spending in the BFSI segment. However, metal stocks saw some gains after China decided to reduce tax rebates on aluminum and copper.
BSE-100 index shed 0.22% or 54.13 points to close at 24,775.04 points.
Meanwhile, the Dubai Financial Market (DFM) General Index lost 0.57% or 27.1 points to close at 4,712.66 points.
Commodities
Oil prices went up due to increased tension between Russia and Ukraine. Russia launched heavy airstrikes on several Ukrainian regions, including Kyiv, causing major damage to energy infrastructure.
However, the rise in oil prices is being held back by worries about demand in China, the world's largest oil importer, and global oil demand forecasts.
Brent crude prices decreased 0.39% to $72.28 per barrel.
Gold prices bounced back on Monday after six days of losses, as the US dollar's rise slowed down. Investors are now waiting for comments from Federal Reserve officials to understand the future of interest rates.
Last week, gold had its worst performance in over three years due to a stronger US dollar and fewer expected rate cuts by the Federal Reserve.
However, on Monday, the dollar remained flat, just below the one-year high it reached on Thursday. A weaker dollar makes gold cheaper for buyers using other currencies, increasing demand for gold.
International gold prices surged 1.05% reaching $2,591.22 per ounce. In Pakistan, gold prices increased by PKR 2,500 to PKR 269,900 per tola.
Currency
The PKR weakened against the US dollar, down 0.07% in the interbank market. Pakistani currency settled at 277.85, a loss of 19 paisas against the US dollar. In the open market, USD was trading at PKR 280.
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