Pakistan Stock Exchange (PSX) witnessed a strong bullish trend as the benchmark KSE-100 index increased by 1,729.48 points, or 1.45%, current index of 120,667.59.
The index hit a high of 120,793.41 points during trading in intra day and maintained a relatively tight interval with today’s low recorded at 119,085.73 points.
Trade volume amounted to over 60 million shares, reflecting strong investor participation.
Today’s trade value was 5.12 billion, which emphasized a robust market activity that has abolished the investor’s confidence.
The development came after Prime Minister Shehbaz Sharif announced a 15% cut in electricity stars, reducing prices by RS7.41 per year. Unit aimed at facilitating the financial burden of families and increasing national network consumption.
The reduction, which benefits about 40.3 million consumers, primarily housing users, was obtained through seasonal customs adjustments, a budget neutral subsidy increase and tax reduction.
The new average electricity rate for domestic consumers will be RS34.37 per year. Unit, while industrial rates have been lowered to RS40.51 per unit. Unit.
The government successfully negotiated with the International Monetary Fund (IMF) to approve this price reduction despite the first resistance.
The maximum relief of 12% has been awarded to commercial consumers, while industrial users benefit from a 13% reduction.
The new rates also introduce significant cuts for protected housing consumers with reductions of up to 32% depending on the use.
On the other hand, US President Donald Trump announced the introduction of ‘reduced mutual’ tariffs in several countries, including a 29% duty on Pakistani goods.
Trump justified the move as a necessary step to correct imbalances in trade and tackle what he considered as unreasonable treatment of US products in foreign markets.
He argued that high tariffs imposed by other countries, including Pakistan, had unfairly subsidized their economies at the expense of the United States.
Trump emphasized that Pakistan had charged a 58% duty on US goods, causing the United States to impose a 29% duty on Pakistani exports.
The United States remains one of Pakistan’s largest trading partners, with bilateral trade valuable to $ 7.3 billion by 2024. US exports to Pakistan rose by 4.4% to $ 2.1 billion, while Pakistan’s imports rose by 4.9%, a total of $ 5.1 billion.
In addition to Pakistan, the United States has imposed mutual tariffs on 40 other countries with rates from 10% to 50%, as part of a wider strategy to tackle global trade imbalances and ensure more just committed trade for US industries.
