ISLAMABAD: After achieving a repeated all-time high during the last couple of days, the Pakistan Stock Exchange (PSX) crossed another historic level on Tuesday with a gain of massive 918 points. At close, the index settled at 60370 with a positive change of 1.54 percent against its last-day level of 59,811.34 points.
According to a capital market expert, Muhammad Saad Ali, the KSE-100 has witnessed a remarkable 48% surge since June. Commenting on the recent positive momentum, Saad Ali attributed the positive trend to factors such as the positive review from the International Monetary Fund (IMF), the stabilization of the PKR-USD exchange rate, and favourable macroeconomic data reinforcing expectations for rate cuts in the December Monetary Policy Committee (MPC). Additionally, global pressures on oil prices have contributed to the overall positive sentiment in the market.
On Tuesday, 779,671,060 shares valuing Rs 26.138 billion were transacted against 657,580,760 shares valuing Rs 20.272 billion on Monday.
In total, 392 companies transacted their shares in the stock market; 177 of them recorded gains and remained in the green zone, 200 sustained losses in the red zone, whereas the share prices of 15 remained unchanged.
Like the previous day, Kohinoor Spinning settled as the volume leader among the top-three trading companies with 79,242,500 shares at Rs4.02 per share again, followed by WorldCall Telecom with 57,449,984 shares at Rs 1.56 per share, whereas Bank of Punjab replacing Yousuf Weaving settled as number three from the top with 44,327,667 shares at Rs 5.45 per share.
Hoechst Pak Ltd witnessed a maximum appreciation of Rs 85.00 per share price, closing at Rs 1,348.00, followed by Ismail Ind as the runner-up with a rise of Rs 80.28 in its per share price to Rs 1,157.00.
Unilever Foods witnessed a maximum decline of Rs 100.00 per share closing at Rs 22,400.00, followed by Rafhan Maize with a decline of Rs 57.05 to close at Rs 10,333.33.
Record Bullish Trend at PSX
During the last couple of weeks, the Pakistan Stock Exchange has recorded remarkable momentum. Experts believe the recent bullish trend made the KSE-100 index as the top performer in Asia, where the index went up more than 7000 points in just a couple of weeks. Only in November, the index went up by over 8000 points, while during the last 5 months, the index achieved a historical 20000 plus points. In addition, the volume of trade was also increased to a significant level during the last few months.
In addition, the last five working days, witnessed five consecutive all-time highs at PSX. On Wednesday, the 100 Index crossed the 58,000 level for the first time in history. On Thursday, the index reached a new historic high and reached near the 59,000 mark, on Friday it crossed the fifty-nine thousand benchmark and on Monday, the index closed to 60000 mark. Meanwhile, on Tuesday, the 100-index surpassed sixty thousand milestone.
According to the experts, the continued upward and positive sentiments in the market were due to the recent agreement between Pakistan and the International Monetary Fund (IMF) to reach a staff-level agreement on the first review for 9-month Stand-By Arrangement (SBA) of $3bn. After the completion of the process, the next tranche of the IMF is expected in the first week of December. After the coming of the tranche from the IMF, inflows related to multilateral and bilateral partners are also expected. Meanwhile a possible decrease in policy rate during the coming days is another good sign for the investors.
