KARACHI: The Pakistan Stock Exchange (PSX) positively kicked off the new year, experiencing a robust surge of over 1,500 points.
On Monday, the benchmark KSE-100 index reached 64,023.98 points, marking a significant increase of 1,572.94 points or 2.52% compared to the previous close of 62,451.04 points.
Raza Jafri, the Head of Equities at Intermarket Securities, attributed this upward momentum to the energy sector, fueled by expectations of dividend payouts as the result season approaches.
Jafri noted that the government’s commitment to addressing circular debt has contributed to investor optimism. Additionally, increased institutional investment in equities is anticipated, driven by expectations of monetary easing in the coming months.
The positive trend in the stock market was preceded by a 0.64% gain in the last trading session of 2023. Investors reportedly welcomed the boost in foreign exchange reserves and the influx of loans from multilateral lenders.
Analysts highlighted that the market was buoyed by the central bank’s announcement of a significant increase in foreign exchange reserves, reaching $7.8 billion in the week ending December 22. This growth was attributed to financial support from both bilateral and multilateral sources.
