Shares at the Pakistan Stock Exchange (PSX) saw profit-taking around mid-day on political noise after climbing more than 800 points in early morning trade on Wednesday in its bull run. The benchmark KSE-100 index climbed 847.17 points, or 0.88 per cent, to stand at 96,703.83 from the previous close of 95,856.66 points at 10:57am. However, the index closed in the red, decreasing by 310.21 points to stand at 95,546.45 points from the last close. Yousuf M. Farooq, director research at Chase Securities, stated regarding the initial bull run, “There is significant interest in retail-driven stocks today, particularly in K-Electric Limited (KEL) and Kohinoor Spinning Mills (KOSM). “KEL is buoyed by rumours of an imminent multi-year tariff approval, a development that could enable a potential transaction and further boost investor confidence,” he explained. Additionally, Farooq observed that stocks were no longer as cheap as they were last year but remained reasonably priced, propelled by stabilising macroeconomic conditions. “This has been a key driver of the ongoing rally, which is likely to continue with periodic corrections along the way,” he predicted. However, he warned that major risks to the momentum included “ , macroeconomic shocks, excessive government spending, and a deteriorating current account position”. Farooq also noted flat steel stocks were in the spotlight following a statement from Aisha Steel Mills’ management, forecasting an increase in sales to 210,000 tons in the fiscal year (FY) 2025 from 167,000 tons in FY24. “In October, 10,001 new stock market accounts were opened in Pakistan — a milestone for the local market, although it pales in comparison to the 3.5 million accounts opened in India, reflecting the latter’s more mature market dynamics,” he underscored. On a positive note, Farooq added that the macroeconomic fundamentals had improved over the past year — a trend which was reflected in the rally. “Additionally, funds are shifting from fixed income to equities, a trend that could accelerate further if interest rates decline in December, potentially fueling the market’s upward trajectory,” he highlighted. Meanwhile, Mohammed Sohail, chief executive of Topline Securities, attributed the early morning bull run to “non-stop buying by local ”. He observed that a statement by The Resource Group (TRG) Pakistan Limited about its portfolio company, IBEX Limited, also helped boost volumes and sentiments. In a statement, TRG Pakistan Limited said that it was informed that its associate, The Resource Group International (TRGI), had entered into an agreement with IBEX Limited, “pursuant to which the IBEX has repurchased approximately 3.56 million IBEX shares from TRGI”. “Following this repurchase, TRGI will retain ownership of 1.8 million common shares of IBEX, with TRGI’s shareholder agreement with IBEX dated November 2017 remaining in effect,” it said.