Karachi, November 21, 2023 – The Pakistan stock market experienced a notable upswing on Tuesday, gaining 294 points as investors eagerly anticipated the approval of a tranche by the International Monetary Fund (IMF).
The benchmark KSE-100 index at the Pakistan Stock Exchange (PSX) concluded at 57,372 points, marking a significant increase from the previous day’s closing at 57,078 points.
It’s worth noting that the KSE-100 index reached an all-time high of 57,393 points on November 16, 2023, reflecting the market’s positive trajectory in recent days.
Analysts from Topline Securities Limited attributed the optimistic momentum to the expected approval of the Staff-Level Agreement (SLA) with Pakistan by the Executive Board of the IMF. The board’s tentative schedule for December 7 added fuel to the market’s positive sentiment. In addition to this, the October 2023 Current Account Deficit (CAD) for Pakistan stood at US$74 million, an increase from $46 million in September 2023, contributing to investor confidence.
Throughout the trading day, several sectors made noteworthy contributions to the market’s positive performance. The Power, Banks, Fertilizer, and Cement sectors played a significant role, with key companies such as HUBC, UBL, FFBL, LUCK, and BAHL collectively contributing 181 points to the index. Conversely, OGDC, COLG, and PPL collectively caused a loss of 68 points.
WTL emerged as the leader in trading volume, with 254.2 million shares changing hands. The overall market witnessed a robust trading volume, reaching 1 billion shares and a total value of Rs 19.3 billion.
Investors and market participants closely monitored the developments, reacting to the positive indicators and anticipating a favorable outcome from the upcoming IMF tranche approval. The market’s response underscored the significance of international financial support and its impact on Pakistan’s economic landscape.
As the market continues to react to global economic factors and financial agreements, analysts anticipate continued volatility and opportunities for investors. The upcoming IMF board decision is poised to be a key driver of market sentiment, influencing trading patterns and investment decisions in the coming days.
