ISLAMABAD: The Pakistan Stock Exchange (PSX) crossed the 119,000-point threshold in intraday trading for the first time, largely driven by aggressive buying from local mutual funds and confidence over a positive review of an International Monetary Fund bailout program, a top brokerage house said.
The benchmark KSE-100 index climbed 1,215.46 points, or 1.03 percent, to reach 119,189.48 from the last close of 117,974.02 at 9:43am. The index settled at 118,769.77, up by 795.75 or 0.67 percent, from the previous close.
“This strong upward movement was largely driven by aggressive buying from local mutual funds, as investor confidence remained high on expectations of an imminent IMF review, which might be completed earlier than expected,” Topline Securities said in its daily market review.
Market activity remained robust, with 666 million shares traded, amounting to a turnover of Rs38.5 billion. Cnergyico Pk Ltd. oil refining company led the volume charts, with 163.9 million shares changing hands.
“The positive trajectory in the Pakistan Stock Exchange signifies the increasing trust of traders and investors in the government’s economic policies,” Prime Minister Shehbaz Sharif said in statement.
“The government is providing all necessary facilities on a priority basis to ensure a conducive environment for business and investment in the country.”
Earlier this month, an International Monetary Fund (IMF) team concluded its first review of Pakistan’s economic reforms under a $7 billion loan program, describing Pakistan’s progress as “strong,” though the mission departed without finalizing a staff-level agreement.
