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KARACHI: The Pakistan Stock Exchange (PSX) extended its recovery rally on the back of renewed buying in the outgoing week, amid growing optimism about easing geopolitical tensions, as a 60-day agreement between Iran and Oman on shipping through the Strait of Hormuz reached the final stages of its finalisation.
The benchmark KSE-100 index rose 5,336 points, or 3.03 per cent, week on week to close at 181,430, as easing geopolitical tensions, robust corporate earnings and improving economic indicators lifted investor sentiment.
According to Arif Habib Ltd (AHL), optimism about a potential improvement in regional tensions and a steady start to the earnings season supported the market throughout the week. The brokerage said the outlook would continue to be shaped by geopolitical developments and corporate results.
The market also drew support from a decline in inflation. Consumer price inflation slowed to 9.2pc year-on-year in July from 11.1pc in June, bringing inflation back into single digits for the first time in four months.
