Pakistan’s stock market soars to a record high; Here are the details you need to know
The index rose an impressive 4,532 points, or 7.3 percent week-on-week (WoW), to reach 66,223.63. The notable increase was attributed to the excellent performance of key sectors including banking, fertilizers and exploration and production (E&P).
Islamabad: The Pakistan Stock Exchange (PSX) ended the trading week on a historic note as the KSE-100 index rose to an all-time high above 66,000 points, a media outlet reported. This record-breaking lockdown was sparked by the visit of interim Prime Minister Anwaarul Haq Kakar, which marked the launch of an Ijara Sukuk worth Pak Rs 30 billion, Express Tribune reported.
The index rose an impressive 4,532 points, or 7.3 percent week-on-week (WoW), to reach 66,223.63. The notable increase was attributed to the excellent performance of key sectors including banking, fertilizers and exploration and production (E&P).
Bullish sentiments dominated the trading floor all week, supported by several encouraging factors. These include anticipation of the January 11 meeting of the International Monetary Fund (IMF) board of governors to approve a $700 million loan tranche, media reported.
The Prime Minister’s comments on the improvement in Pakistan’s fiscal and foreign accounts, along with extensive participation of foreign investors, high returns and a stable exchange rate, contributed to the rapid progress of the index.
On Monday, the index hit a record high on expectations of a free trade deal with the Gulf Cooperation Council (GCC) and measures to establish a sovereign wealth fund, the media report said. The next day, the stock reached almost 63,000 points, driven by a 9 percent month-on-month increase in oil sales and expectations surrounding the upcoming release of the IMF loan tranche.
On Wednesday, stocks rose to a new peak, fueled by a positive economic outlook and a reduction in foreign debt, sparking investor interest in specific sectors.
The next day, the PSX broke another record amid heavy trading, with news of a potential Chinese investment worth $1.5 billion in Pakistan Refinery Limited (PRL), inspiring market players to make heavy buying. In addition, investors were encouraged by the Asian Development Bank (ADB) project financing of approximately $650 million for Pakistan.
Friday’s extraordinary performance pushed the KSE-100 index to a new all-time high above 66,000 points, with significant strength derived from Prime Minister Kakar’s visit for the launch of an Ijara Sukuk worth Rs 30 billion, it reported media channel.