PSX hits new high amid optimistic economic trends

The Pakistan Stock Exchange (PSX) soared to yet another record high on Wednesday, buoyed by positive economic indicators.

A decrease in inflation sparked expectations of monetary easing, seen as a significant boost to commercial activity and, consequently, corporate earnings.

Closing at 67,756.03 points, the benchmark KSE-100 index surged by a substantial 869.77 points or 1.30 per cent.

Investors were particularly drawn to the cyclical sector, with significant investments flowing into cement and steel companies.

This interest was largely fueled by reports indicating a rise in both local and international cement dispatches for March.

However, sectors such as transport, technology, communication, and commercial banking also garnered attention from investors.

Additionally, the government’s privatisation initiatives, particularly the proposed sale of State-Owned Enterprises (SOEs), injected optimism into the market.

There’s a prevailing belief that these companies could experience improved profitability and efficiency under private ownership.

Notably, on Tuesday, the Privatisation Commission initiated the process of selling off Pakistan International Airlines (PIA), inviting expressions of interest (EOIs) from potential buyers.