KARACHI: The stock market showed recovery on Tuesday after a disappointing opening of the week and soared to over 500 points. The benchmark KSE-100 index had gained 1.25 per cent or 536.04 points by 10:10 AM.
According to the Chief Executive of the First National Equities Limited Ali Malik, the upward trajectory in the stock market occurred after the Monetary Policy Committee of the State Bank of Pakistan decided to retain the policy rate at 15pc. The rate will remain unchanged for two months, which came as a pleasant surprise for the stock market.
The State Bank of Pakistan stated on Monday that it would not hike the rates at the moment because moderation had been recorded in domestic demand, and an external position had reported improvement. Malik commented that the market could reach over 45,000 points if political stability was maintained across the country.