KARACHI – Pakistan stock exchange has made remarkable gain of 3 percent, highest rise in two and half months on expectations United Arab Emirates promised to increase investment portfolio in Pakistan and would work on number of projects to help boost economy.
Pakistan stock market gained sharply by 1014 points to close at 38562 points with gainers led the column where 201 companies showed plus signs as against 102 witnessed minus signs.
Elixir Securities Director Research Hamad Aslam said that the exuberance was led by positive developments on financing the External Account Deficit after conclusion of a successful visit by the Crown Prince of UAE.
This further helped develop market consensus that the Current Account Deficit will significantly ease going forward – we expect the deficit to clock in at $11.6 billion and $7.7 billion in FY19 and FY20, respectively (from a high of USD19.0bn in FY18).
He said that the another major trigger for the market movement was the significant recovery in international crude oil prices which directly benefits roughly 15 percent of the KSE100 Index (i.e. OGDC, PPL, POL and MARI).