KSE-100-Index, Gold hit intraday high
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Gold prices surged to $3,870 an ounce for the first time on Tuesday, setting a new record as investors flocked to the safe-haven asset on U.S. rate cut expectations
The Pakistan Stock Exchange (PSX) made another history on Tuesday. The benchmark KSE-100 Index touched intraday high 166,000 points for the first time in its history.
The Index after gaining 1646 points closed at 165,493 points after touched 166,556 intraday trading. On Monday, the Index was closed at 163,847 points.
The record-breaking surge was led by strong activity in cement, energy, oil and gas, pharmaceuticals, and banking stocks. Heavyweights such as ARL, HUBCO, OGDC, POL, PPL, SNGP, SSGC, MCB, MEBL, and UBL traded in the green, boosting investor confidence.
However, declines in stocks such as Engro Holdings, Lucky Cement, and Millat Tractor Ltd saw a partial offset of 206 points.
Despite the strong market performance, trading volume saw a slight dip, falling 25pc to 1.28bn shares, while the total traded value decreased by 7.03pc to Rs 65.7 billion. WorldCall Telecom topped the volume chart, with 113 million shares traded.
Analysts noted that institutional inflows, coupled with improving market sentiment, helped maintain the bulls’ grip, pushing the index into uncharted territory.
In corporate updates, Ghandhara Automobiles Ltd surprised investors with a year-on-year surge in earnings per share (EPS) to Rs71.85, a rise of 11 times, and a dividend per share (DPS) of Rs10. Air Link Communications Ltd also impressed, reporting an EPS of Rs12.01 and a DPS of Rs7.00, both exceeding expectations.
As the government enters the crucial stage of negotiations with the International Monetary Fund (IMF), market participants remain hopeful that any progress on the IMF review will strengthen investor confidence.
However, concerns linger regarding the ongoing review and its impact on Pakistan’s fiscal stability, with some analysts noting that achieving targets set by the IMF remains a challenging task.
Gold Prices Hit All Time High
Gold prices surged past $3,870 an ounce for the first time on Tuesday, setting a new record as investors flocked to the safe-haven asset on U.S. rate cut expectations, fears of a potential government shutdown and escalating geopolitical tensions. U.S. gold futures for December delivery settled 1.2% higher at $3,855.2.
In the local markets, the 24 karat gold touch Rs 406,778 a Tola after increase Rs 3100 in a day. 10 grams 24 karat gold touched Rs 348,746 after a gain of Rs 2725 in a day. US gold futures for December delivery rose 1% to $3,855.
“Safe-haven demand focused on the potential U.S. government shutdown” is one of the driving factors behind gold’s rally, said David Meger, director of metals trading at High Ridge Futures. “The dollar is under some light pressure in response to that, certainly supporting the precious metals complex.”
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