Stocks manage modest gains in cautious trading
In a volatile session, the equities market closed in the green on Tuesday on rising hopes of an imminent interest rate cut following a sharp deceleration in CPI-based inflation to 20.68 per cent in March. Ahsan Mehanti of Arif Habib Corporation Ltd said the market showed recovery as investors weigh the 22-month lowest inflation reading below the Ministry of Finance’s projection of 23.5pc, which is expected to pave the way for a reduction in the State Bank’s policy rate next month. He said the surging global stocks and crude oil prices, deliberations over privatising loss-making state-owned enterprises and exchange rate stability helped the index stay bullish.