Daily Report: 23 August 2022RT Securities
Pakistan Stock Exchange (PSX) on the second trading day of this week breaks bearish momentum on the back of encouraging statements by the central bank and the KSE 100 Index climbed +540.12 points to close the benchmark index at 43,366.78 levels.
On the economic front, the central bank kept the policy rate unchanged at 15% and foreseen the economic indicators finally slowing down. The committee projected that the headline Inflation will likely fall by 5 to 7 percent by the end of FY24 amid tight monetary and fiscal policies. On a positive note, the FX reserves are likely to rebound at around $16 billion during FY23 which is supported by the completion of the upcoming IMF review and the additional inflows from friendly countries. On the other hand, Pakistan will receive $2 billion from Qatar in bilateral support to help ease the South Asian nation’s funding crunch and the consequent risk of a default, the central bank said on Monday. Moreover, oil prices fell 2%, snapping a three-day winning streak due to fears of rising interest rates in the US, which could slow down the world’s economy and reduce demand for fuel. The price of a barrel of October- Brent crude dropped by $2.33, or 2.3%, to $94.39
Market participations remained healthy and overall 324 million shares traded in KSE All Share Index today, where HASCOL,KEL,WTL and PRL remained among the top Volume leaders.