KARACHI – The stock market demonstrated bullish trend on Monday in theearly trade hours with the massive gain of 561 points. The benchmark KSE100-share Index rose to 39,849 points.
After Chinese investors expressed keen interest in pouring at least $2billion into Pakistan’s stock market, PSX Chairman Sulaiman S Mehdi at apress briefing on Friday stated: “Small Chinese stockbrokers having $52billion in assets under management have shown interest in investing atleast $2 billion in shares at the Pakistan Stock Exchange (PSX).”
Later on Sunday, Adviser to the Prime Minister on Finance Dr Abdul HafeezShaikh said the recent strong performance of Pakistan’s stock market wasproof of “increasing investor confidence on stabilisation measures”employed by the Pakistan Tehreek-e-Insaf (PTI)-led government.
In a tweet, the premier’s aide stated that the 14.9 per cent gain of theKSE-100 Index in November was the highest one-month return over the pastsix years.
“The KSE-100 index is up by 14.9% in November 2019, highest one monthreturn after May 2013. Since 16 August 2019, the index increased by 36.6%(10,500 points),” said Mr Shaikh.
linkDr. Abdul Hafeez Shaikh@a_hafeezshaikhlinklink
The KSE-100 index is up by 14.9% in November 2019, highest one month returnafter May 2013. Since 16 August 2019, the index increased by 36.6% (10,500points). The strong rally in Stock Market shows increasing investorconfidence on stabilisation measures taken by the Govt.link
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His comments came after the Pakistan Stock Exchange had a phenomenal rallyin the outgoing week despite political uncertainty that jolted investorsbriefly.
According to updates till Friday, the benchmark KSE-100 index managed tosustain its winning streak for the fifth successive week as it advanced1,362 points or 3.59 per cent and crossed the 39,000 mark after eightmonths. It closed the week at 39,288 points.
“In November 2019, the KSE-100 index increased 5,084 points or 14.9pcmonth-on-month – this is the highest monthly return after May 2013,” saidAHL Research in its report.
Earlier, State Bank of Pakistan Governor Reza Baqir had hinted atmaintaining the status quo in the monetary policy, which providedmuch-needed clarity and helped the bourse trade in the green zone.
In the monetary policy announcement, the State Bank of Pakistan (SBP) haskept the interest rate unchanged at 13.25pc.