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KARACHI: The Pakistan Stock Exchange (PSX) on Tuesday witnessed bullish trend and posted 457 points on the closing of the second business day of the week.
The market sentiment turned positive over the expectations of a successful review of the $6 billion IMF loan programme.
Moreover, the currency devaluation provided support to the technology and textile sector.
In addition, market participants resorted to cherry-picking of stocks, which had dropped to attractive valuations after the recent bear run. With addition of 457 points, the KSE-100 Index closed on 45,274 points.
With Tuesday’s bullish trend, the PSX broke the bearish trend that prevailed for last seven days.
On the other hand, most Asian markets slipped Tuesday with investors contemplating the prospect of rising US borrowing costs as inflation spikes, while US lawmakers’ struggle to raise the debt ceiling is also agitating nerves on trading floors.
Fears over the possible collapse of troubled Chinese developer Evergrande have abated for now, however, though developments on the crisis are being closely followed.
With the US economy back on track — and several Federal Reserve officials saying their goals of high inflation and tackling unemployment are close to being met — the US central bank is expected to begin tapering its ultra-loose monetary policy within months.
