KARACHI (Reuters) The Karachi stock market closed marginally higher on Friday on light trade, as investors stayed on the sidelines awaiting the announcement of the next monetary policy, dealers said. The State Bank of Pakistan is due to announce its monetary policy on Saturday (today) for the subsequent two months. Analysts expect the bank to cut interest rates by up to 100 basis points to 12.5 percent because of lower inflation. The KSE benchmark 100-share index rose 0.13 percent, or 14.84 points, to end at 11,853.84 on turnover of just 70.48 million shares. "Select stocks buying kept the trading session range-bound just ahead of monetary policy announcement," said Samar Iqbal, a dealer at Topline Securities Ltd. Among the most active companies, volume leader Pakistan Telecommunication Co Ltd rose 3.27 percent to 11.69 rupees, and D.G. Khan Cement gained 4.97 percent to 22.60 rupees. In the currency market, the rupee weakened to 87.34/39 to the dollar compared with Thursday's close of 87.18/22 because of increased import payments following a rise in international oil prices. The rupee hit a record low of 87.92 to the dollar last month. The rupee is likely to remain under pressure because of speculation over the rate cut and the government's decision not to seek a new International Monetary Fund loan. APP adds from Islamabad: Islamabad Stock Exchange (ISE-10) on Friday witnessed bullish trend as the index gained 1.19 points to close at 2,592.95. Stock analyst First National Equity Pvt Ltd, M.M Hassan told APP that after being the political situation normal, the local equity markets performed well. He said that crude oil prices rebounded and trading around 80 appeared to be a savior against any big nose down in oil based heavy index of our exchanges with good current valuations in oil stocks. He added that banking sector also seemed stable with annual results scheduled in January and February with clear sector growth coming. Senior Equity Dealer, Ismail Iqbal Pvt Ltd, Zaheer Ahmed told APP that the local equity market remained range-bound because the investors were in the wait and see position till monetary policy to be announced tomorrow (Saturday). He said that fertilizer stock had undergone some profit taking in second session with gas curtailment issues making impacts in giant stocks. Total shares traded were 157,000, down by 74,868 as compared to trading of previous day. Out of 139 companies, the price of 79 increased while the price of 60 decreased. The price of top gainer Bhanero Textile increased by Rs 11.19 while the price of top loser Siemens Engineering decreased by Rs 45.81.