KARACHI: During the intraday trading, the PSX’s benchmark KSE-100 index gained more than 1,100 points. Analysts said that the positive trend came after the announcement of the Monetary Policy Committee (MPC) deciding to keep the policy rate at 9.75 per cent, after a raise of 100 bases points.
At 2:05 pm, the index went up by 1154.74 points or 2.67pc jumping to 44,401.45 points. Yesterday, the index closed at 43,246.71 points after a loss of 519.41 points.
CEO Alpha Beta Core Khurram Schehzad said that the investors had taken new positions after the State Bank governor hinted at no further hike in the interest rates. He added that the next treasury bills’ auction held an important place in deciding which way the market would go.
State Bank of Pakistan in its recent tweet has eliminated the possibility of any further increase in interest rates.
2/2 Given rate increases since Sept and outlook, the MPC felt that the end goal of mildly positive real interest rates on a forward-looking basis was now close to being achieved. Looking ahead, monetary policy settings are expected to remain broadly unchanged in the near-term.
— SBP (@StateBank_Pak) December 14, 2021