Karachi stocks scale new peak on rate cut hopes

KARACHI: Stocks hit a record high for the fifth time in six sessions on Tuesday, supported by expectations that the central bank will ease rates later this week.

The Karachi Stock Exchange's (KSE) benchmark 100-share index surged as high as 16,675.94 in intraday trading.

It closed at 16,650.15, up 0.68 percent or 112.17 points.

Jahangir Sidiqui rose 5.69 percent, or one rupee, to 18.56 per share, while D.G. Khan Cement was up 0.07 percent, or 0.4 rupees, to 53.81 per share.

Maple Leaf Cement fell 0.14 percent, or 0.02 rupees, to 14.42 per share.

The market found support from expectations that the State Bank of Pakistan will cut its discount rate this week after government data showed inflation under control.

The consumer price index rose a smaller-than-expected 6.93 percent in November compared to a year earlier. (Reuters)