Intraday: PSX zooms past 90,000 points on buoyant macros

Stocks zoomed past the 90,000-point mark during intraday trade, buoyed by robust macroeconomic indicators and stabilising economic fundamentals amid optimism that the central bank will extend its hawkish monetary regime in the upcoming meeting.

The Pakistan Stock Exchange's (PSX) benchmark KSE-100 Shares Index gained 1,100.32 points to jump to 90,046.3 points during the intraday trade, up from yesterday's close of 88,945.98 points.

Arif Habib Limited's Head of Research Tahir Abbas told Geo.tv that the market's overall momentum was positive.

"If you look at the economic indicators like remittances, current account, etc, they are improving, which is affecting the market positively," the analyst said.

He noted that, with inflation on a downward trajectory, the interest rate was expected to see a further cut of 2% to 2.5% in the upcoming monetary policy meeting on November 4, 2024.

"Even though stocks have been rallying for some time, valuations are still attractive and cheap, while the market is trading at a price-to-earnings ratio of 4.2x, while its six-year average is around 6x," Abbas said.

The analyst further said that there was an ample flow of liquidity in the stocks, and since fixed-income investments were not offering solid returns, investors were entering the equities market. "This shift is driving value buying in the market," he added.

This a developing story and is being updated with more details.