ISLAMABAD, JULY15: Spurred by the recently signed International Monetary Fund (IMF) deal, the Pakistan Stock Exchange (PSX) crossed the 81,000 mark to start the week on a bullish note.
At roughly 11am, the KSE-100 index rose 1276.91 points, or 1.6%, to close at 81,221.00 points, up from the previous closing of 79,944.09. At 81,155.60, 1211.51, the index finally closed, up 1.52 points, or points, from the previous level.
“The market is reacting positively to the staff-level agreement with the IMF, as this is supportive for continued macroeconomic stability and reforms,” stated Raza Jafri, chief executive of EFG Hermes Pakistan. “Investors may also be watching the next monetary policy, with further interest rate cuts anticipated throughout the second half of 2024,” he continued.
The same opinions were expressed by Awais Ashraf, director of research at AKD Securities. He said that “investor interest has been enhanced” by the staff-level deal with the IMF.He emphasized, “Sectors that benefit from monetary easing and structural reforms are likely to gain the most in coming days.”
The “completion of the IMF deal,” according to Chase Securities’ director of research Yousuf M. Farooq, is another factor contributing to the bullish trend. As he noted, “The market should rerate higher going forward due to economic stability, lower inflation, and interest rates.”
