The Pakistan Stock Exchange (PSX) broke the 81,000-point barrier on Monday, driven by aggressive buying from both local and foreign investors, alongside robust institutional support.
The benchmark KSE-100 index soared by 483.98 points, or 0.6%, reaching 81,050.18 points during intraday trading at 11:40 AM. This marked a significant jump from the previous session’s close of 80,566.20 points.
Ahsan Mehanti, an analyst at Arif Habib Corp, attributed the all-time high to investors’ positive response to the government’s moves towards privatization of state-owned enterprises (SOEs) and the recent assurance from Prime Minister to initiate the bidding process for Pakistan International Airlines (PIA) in August 2024. Additionally, the recovery of the rupee against the dollar bolstered investor confidence.
“Easy SBP (State Bank of Pakistan) policy rates played a catalyst role in bullish activity at PSX,” Mehanti told Geo.tv.
Echoing this sentiment, Khurram Schehzad, CEO of Alpha Beta Core and economic analyst, noted that the anticipated talks with the International Monetary Fund (IMF) for a new, more extensive program have fueled investor confidence in economic reforms and enhanced stability in the economy.
“As a result, the market stands inexpensive on multiples, so investors continue to take exposures,” Schehzad said.
This bullish momentum follows a positive trend from the previous day, where the index recorded an increase of 353.41 points, or 0.44%, closing at 80,566.21 points.
With strong buying interest and supportive macroeconomic factors, the PSX continues to reflect growing investor optimism in Pakistan’s economic prospects.
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