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KARACHI: The Pakistan Stock Exchange (PSX) extended its recovery for a second consecutive week, buoyed by improving macroeconomic indicators, easing geopolitical tensions and a sharp fall in international oil prices, which strengthened expectations of a policy rate cut later this month.
The benchmark KSE-100 index gained 5,801 points, or 3.23 per cent week-on-week, to close at 185,372 points, as investors welcomed slowing inflation, declining bond yields and optimism over the external account.
According to Topline Securities, sentiment improved as falling global oil prices eased concerns over Pakistan’s external financing needs, while June inflation slowed to 11.07pc from 11.66pc in May, reinforcing expectations of monetary easing.
However, Pakistan’s monthly trade deficit widened to $4.5 billion in June, the highest in four years, reflecting a sharp increase in imports.
