Pakistan Stock Exchange (PSX) Opens Lower Amidst Monetary Policy Uncertainty

Date: March 11, 2025​

Opening Update: As of 10:29 AM, the KSE-100 Index stands at 114,330.79 points, reflecting a decrease of 25.55 points or 0.02% from the previous close of 114,356.34 points. This slight decline indicates investor caution following the State Bank of Pakistan’s (SBP) unexpected decision to maintain the key policy rate at 12%. ​dps.psx.com.pkReuters

Previous Session Recap: On March 10, 2025, the KSE-100 Index experienced a marginal decline, closing at 114,356.34 points, down 42.36 points or 0.04% from the prior close. The market remained range-bound, influenced by uncertainties surrounding the SBP’s monetary policy stance and ongoing discussions with the International Monetary Fund (IMF) regarding the country’s circular debt resolution strategy. ​english.aaj.tv+1The Express Tribune+1The Express Tribune

Key Indices Performance:

• KSE All Share Index: 70,755.82 points, a decrease of 275.86 points (0.39%)​dps.psx.com.pk
• KSE-30 Index: 35,295.35 points, down 51.84 points (0.15%)​dps.psx.com.pk
• KMI-30 Index: 172,618.27 points, an increase of 484.69 points (0.28%)​dps.psx.com.pk

Market Activity:

• Total Volume Traded: 118,116,777 shares​dps.psx.com.pk
• Total Value Traded: PKR 11.71 billion​
• Number of Trades: 104,790​psx.com.pk

Market Insights: The SBP’s decision to halt its easing cycle and maintain the policy rate at 12% has introduced a degree of uncertainty among investors. The central bank cited potential price risks, including global tariff escalations, as reasons for this unexpected move. Additionally, concerns over the IMF’s reservations regarding the government’s plan to address the energy sector’s circular debt have contributed to a cautious market sentiment. ​Reutersenglish.aaj.tv+2dawn.com+2The Express Tribune+2

Outlook for Today: Analysts anticipate that the market may continue to exhibit volatility as investors digest the implications of the SBP’s monetary policy decision and await further clarity on the government’s negotiations with the IMF. Key sectors such as banking, energy, and manufacturing are expected to be in focus, with stock-specific activity likely influencing overall market direction. Investors are advised to monitor developments closely and adopt a cautious approach in the short term.​dawn.com

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