PSX jumps after central bank leaves key rates unchanged

The Pakistan Stock Exchange (PSX) witnessed a mixed session on Wednesday as investors remained cautious ahead of the State Bank of Pakistan’s policy rate announcement. However, late-session buying lifted the benchmark KSE-100 index by nearly 450 points.

The index fluctuated between the intra-day high of 139,018.88 and low of 137,658.81. It closed with a gain of 447.43 points at 138,412.25.

After the SBP unexpectedly maintained its benchmark policy rate, it triggered a broad-based rally in the banking sector, with notable gains in major names such as United Bank, Habib Bank, and MCB Bank.

The market ended on a positive note as banks rallied following the SBP’s announcement to keep the policy rate unchanged, contrary to market expectations of a cut of 50 basis points. 

KTrade Securities said stocks saw a mixed session as investors awaited the central bank’s policy rate decision. The KSE-100 index fluctuated between the intra-day low of 137,659 and high of 139,019, eventually closing up by 447 points at 138,412.