The Pakistan Stock Exchange (PSX) maintained its upward trajectory on Thursday, reaching a new milestone by crossing the 64,000 mark, marking another record high. At 10:20 am, the KSE-100 index surged by 380.55 points, reaching 64,298.27, a 0.6% increase from the previous close of 63,917.72, according to the PSX website.
The benchmark index, continuing its bullish trend from the previous week, had briefly surpassed the 64,000 level the day before but had retraced towards the end of the session. Analysts pointed out that the index has seen a remarkable 54.5% increase since Pakistan entered into a loan agreement with the International Monetary Fund (IMF) in July.
Capital market expert Mohammad Saad Ali stated to Dawn.com that the market showed resilience despite concerns about a potential delay in the disbursement of the IMF tranche until January, following the successful Staff Level Agreement. He also highlighted two positive developments: the possibility of Chinese investment in Pakistan Refinery Limited, raising expectations for the long-awaited refinery policy, and a correction in oil prices due to global demand uncertainties.
Mohammed Sohail, the CEO of Topline Securities, echoed these sentiments, attributing the upward momentum of the benchmark index to falling global oil prices. He emphasized that continuous foreign buying is boosting local investors’ confidence.
Shahbaz Ashraf, Chief Investment Officer at FRIM Ventures, emphasized that the bullish momentum is not confined to specific sectors but is widespread across the market. He noted that foreign investments have contributed to the recent excitement, leading to a positive re-rating of the market.
Asian Development Bank Approves $658 Million Loans For Three Projects In Pakistan
Meanwhile, the Asian Development Bank (ADB) has approved this week three projects totaling $658.8 million to help Pakistan achieve its goal of more inclusive and sustainable growth and development.
The projects will focus on improving domestic resource mobilization; rehabilitating schools damaged by the devastating August 2022 floods; and enhancing agricultural productivity to improve food security.
