KARACHI: Pakistani stocks rose to a record high near 16,400 points on Tuesday, driven by a spike in cement stocks and expectations that the central bank will cut rates at next month’s meeting.

The Karachi Stock Exchange’s (KSE) benchmark 100-share index surged to a record high of 16,375.36 in intraday trading. It closed at 16,364.77, up 0.58 per cent or 94.29 points from the previous session.

“Renewed buying was see in cement stocks amid expectations that their December results would be better than the last quarter,” said Samar Iqbal, an equity dealer with Topline Securities.

The market also found support from expectations that the State Bank of Pakistan will cut its discount rate at next month’s monetary policy meeting.

D.G. Khan Cement rose 3.65 per cent, or 1.95 rupees, to 55.39 per share, while Karachi Electric rose 12.01 per cent, or 0.70 rupees, to 6.53 per share.

In the currency market, the Pakistani rupee weakened at 96.12/96.22 to the dollar, compared to Monday’s close of 96.08/96.15, pressured by upcoming debt repayments to the International Monetary Fund, a dealer said.

Overnight rates in the money market remained flat 9.00 per cent.