Stocks rally on rate cut, IMF deal hopes
Despite aggressive selling pressure from all segments, barring individuals, the stock market on Wednesday remained in the bullish mind of frame amid growing optimism of an interest rate cut and the finance minister’s assertion that the economy was on the right direction and set to achieve stability with the IMF loan. Value hunting by individuals helped the index stage a robust rally. Ahsan Mehanti of Arif Habib Corporation said stocks closed bullish amid speculations about a potential rate cut in the SBP monetary policy announcement on Sept 12 after CPI inflation stood at 9.6pc for August. Topline Securities Ltd said the positive momentum followed the finance minister’s remarks that the IMF’s $7 billion Extended Fund Facility approval is on track, with Pakistan nearing assurances on external financing.