ISLAMABAD – Pakistan Stock Exchange crashed over the FATF announcementagainst Pakistan greylist.
KSE-100 index lost over 1,105 points – down 2.82 per cent – to close at 39,143, well below the 40,000 barrier.
Today’s losses followed a lacklustre last weeklink during which themarket remained largely flat as bulls and bears managed to secure an upperhand in turns. The index had closed Friday almost flat with a minor uptickof just six points (0.01 per cent) at 40,249 from Monday (Feb 17).
Ali Asghar Poonawala, Deputy Head of Research at AKD Securities, told*Dawn.com* the predominant reason for the downslide was the “FATF statementmaintaining Pakistan on the grey list”.
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He said significant headwinds, partially flowing through from last week(macro weakness as government manages inflationary pressures while aimingto meet IMF’s performance criteria), were brought to light by the”relatively harshly worded FATF statementlink”.
Poonawala said even though FATF had acknowledged significant progress beingmade by Pakistan, which was reflected by the body extending the timelinefor implementing reforms, its strong statement did not bide well forinvestor sentiment.
