The Pakistani stock market jumped to an all-time high on Monday due to positive news on Pakistani banks regarding taking place with Fitch and upgrade in the sovereign rating of Pakistan by Moody to the level of Caa1. Vigorous company profits, a solid rupee and hopes about Pakistan-US trade and investment agreement strengthened but the KSE-100 rose by 1,705 points to break the 148,000 mark.
Ahsan Mehanti of Arif Habib Corp noted how the new record close was a reflection of optimism among investors and continued optimism of Fitch ratings regarding banks as well as the rating uncertainty by Moody upward revision. Others were anticipations of good financial results, the stability of rupee, speculation in the trade agreements with US, and possible government action to obtain the US export tariff privileges.
Topline Securities has explained that bullish momentum prevailed on Monday that saw the KSE-100 initiate 1,904 points within the intra-day before closing at 148,196, up 1,705 points. The government circular debt reform efforts like canceling LNG cargoes, making adjustments in RLNG prices, mobilizing funds on the basis of LNG savings, state owned company dividends and power sector arrears added positive sentiment. The key movers of the rally were Lucky Cement, Meezan Bank, Bank AL Habib and Pakistan Petroleum that contributed 756 points.
Read more: Pakistan Stock Exchange Hits Record 92,000
The number of shares trading went up by 610.3 million (up to Friday at 473.6 million), and the total value of the traded shares to Rs39.2 billion. Amongst the 487 stocks traded, 283 stocks and 175 fell and 29 remained constant in their positions and the top stock in terms of volumes was WorldCall Telecom at 40.7million shares.
Pakistan stock market continues to rake investors because of the euphoric hopes of reforms in the economy and corporate performances are registering record increases.
