Pakistan Stock Exchange crosses 48,000 points

By -
Pakistan Stock Exchange crosses 48,000 points
Pakistan Stock Exchange's (PSX) benchmark KSE-100 index jumped past the 48,000 mark, a 24-month high, on Monday as analysts expect the positive sentiment to continue in the coming days.

Bulls took over the market after Pakistan's deal with the International Monetary Fund (IMF), and later, news on the country's mineral sector strengthened the gains further.

During the intra-day trade, the benchmark index increased by 1,010.72 points or 2.15% to reach 48,062.56 points, data showed, up from the previous close of 47,076.9 points — a 21-month high.

The market has gained more than 6,600 points (+15.9%) since Pakistan's staff-level agreement with the IMF for a $3 billion Standby Agreement.

Under the Special Investment Facilitation Council (SIFC), the government is also holding a Pakistan Mineral Summit regarding Reko Diq and other mines and mineral projects, beginning August 1, seeking foreign investment.

Speaking to private news channel, Pakistan-Kuwait Investment Company's Head of Research Samiullah Tariq attributed the expected investment in minerals as a "major" contributor to the market's rise.

"Major factor is optimism regarding investment in minerals; positive expectations of investment in other ventures/sectors as a spillover of investment in mining," he said.

Four leading Pakistani state-owned companies have also signed a memorandum of understanding (MoU) to collaborate on a $10 billion Greenfield Refinery project to be jointly developed with Saudi Aramco at the strategic Gwadar port in Balochistan.

Head of Equities at Intermarket Securities Raza Jafri told private news channel that today's run-up is broad-based, led by banks on strong results and valuation rerating, and by energy stocks on hopes of energy reforms and circular debt resolution.

He mentioned that the overall turnaround has come on the back of Pakistan securing the IMF SBA program, which has unlocked fresh financing from friendly countries and has given confidence to investors, including foreign funds.

"This remains a cheap market, with the potential to make new all-time highs provided risks are managed well," the analyst said, noting that today's rise takes returns in July to more than 15%, easily making it the best month in more than three years.

Alpha Beta Core CEO Khurram Schehzad said clarity on the political front was also boosting the investors' confidence — as the government will likely dissolve the assemblies before their tenure ends and hand over the reins to interim rulers.

"Political clarity, timely expected political transition, being on track with the IMF, a portion of the gas circular debt being paid, and some global leaders visiting Pakistan showing their investment interest are some of the reasons for stocks to continue momentum."

Comments

Post a Comment

Popular posts from this blog

At least 11 dead, others injured after train catches fire near Rahim Yar Khan

By Admin -
Image
At least 11 passengers lost their lives and 30 others sustained burn injuries when three carriages of a Tezgam Express caught fire due to explosion in a gas stove, according to initial reports. Meanwhile, firefighters have initiated a rescue operation to extinguish the fire and other passengers are being evacuated from the train to safe places. The affected carriages are being separated from the train. The train, Tezgam, was on its way from Karachi to Rawalpindi, when a gas cylinder carried by a passenger exploded, leaving several dead and injured. The fire was caused by the explosion in a gas cylinder, confirmed the Pakistan Railways official. According to details, the passengers were cooking breakfast when the gas cylinder exploded. After the blast, the raging fire engulfed two other coaches as well. Fire fighters were still extinguishing the fire as per last reports.
Read more

Three soldiers martyred in terrorist attack on checkpost in Balochistan’s Zarghoon

By -
Image
As many as three soldiers embraced martyrdom and one terrorist was killed in an exchange of fire between security forces and terrorists in Zarghun, the area of Balochistan on Saturday. According to the military’s media wing, the Inter-Services Public Relations (ISPR), an operation was launched in the area against suspected terrorists who attacked a security post. “Troops on the post retaliated readily to the fire raid thereby, pushing back the terrorists,” stated the military’s media wing. In the ensuing exchange of fire, three soldiers were martyred while one terrorist was also killed. The military identified the martyred soldiers as Sepoy Zaheer Ahmed, Sepoy Mudassir Shaheed and Lance Naik Abdul Qadeer. The ISPR stated that the post had recently been established to “check extortion efforts targeting coal mines in the area”. “Based on follow-up ISR effort, likely hideout of fleeing terrorists has been identified in nearby mountains and a deliberate blocking and sanitisation op...
Read more

Legal process to try May 9 planners, perpetrators under army act begins: COAS

By -
Image
Chief of Army Staff (COAS) General Asim Munir has said that the legal process of trial against planners, instigators, abettors and perpetrators involved in the May 9 mayhem has commenced under Pakistan Army Act and Official Secret Act as per existing and established legal procedures derived from the Constitution. The army chief's statement came as he visited Jinnah House and an army installation in Lahore, which were blatantly attacked and vandalised by “politically motivated” rioters, the Inter-Services Public Relations (ISPR) said in a handout. The COAS was also given a briefing on events of May 9 dubbed by the military as ‘Black Day’ — the day when Pakistan Tehreek-e-Insaf (PTI) supporters ransacked and torched military installations across the country following the arrest of their leader Imran Khan in a graft case. Addressing the garrison officers and soldiers at Corps Headquarters, Gen Munir emphasised that any action aimed at widening a gulf between people and the milita...
Read more