The Pakistan Stock Exchange (PSX) continued its upward trend on Friday, when the KSE-100 index broke through the 59,000 mark for the first time in its history during intraday trading.
PSX Crossed 59,000 Points Milestone for The 1st Time
According to the PSX website, the benchmark index reached 59,397.44 points at 10:24 a.m., up 497.60 points or 0.84% from yesterday’s close of 58,899.84 points.
Raza Jafri, Head of Equities at Intermarket Securities, told a local news channel, “The market continues to make new highs on tailwinds provided by the government’s strong focus on the economy and reasonably well-managed risks for now.”
He also stated that valuations remain appealing despite the rally, citing the resumption of foreign buying as the primary driver of the increase.
Capital Market Expert Opinion
Saad Ali, a capital market expert, attributed the rally to interest rate cuts, low political risks surrounding the upcoming elections, and the smooth continuation of the International Monetary Fund’s (IMF) Stand-by Arrangement (SBA) without the demand for additional tightening measures.
“Valuations still remain low by the historical average offering a greater upside,” he told a local news channel.
Analysts Opinion
Analyst Ahsan Mehanti said a day earlier that Asia’s best-performing KSE-100 index rose 1.2% on a strong economic outlook, shrinking current account deficit, and government efforts to resolve power sector circular debt.
“The surging exports, ongoing rupee recovery, projections on falling interest rates and improving foreign exchange reserves following the International Monetary Fund’s (IMF) disbursement of the next tranche played a catalytic role in the record close.”
According to Topline Securities analyst Ali Najib, equities have been on an unstoppable bull run, with the benchmark index gaining more than 1%.
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