Defying political noise, PSX crosses 99,000 points

KARACHI: The Pakistan Stock Exchange (PSX) crossed 99,000 points limit early on Monday. This comes after the benchmark Index topped the 97,000 points psychological mark on Thursday and 98,000 points on Friday.

The stock market has been on a journey of multiple historic firsts, despite downward pressures from the political instability and profit-taking.

By 10:30 AM on Monday, the KSE-100 index had already jumped over 1,300 points to trade at 99,109.39 points, up from the opening stage of 97,798.23 points.

PSX trading above 98,000 points

The bullish run of the bourse is being attributed to solid foundations of higher earnings, lower government bond yields, and improving macroeconomic indicators. Moreover, the continued improvement in the foreign investors’ confidence is translating into inflows of foreign investment.

Put together, these factors mean that the investor sentiment can withstand the shocks coming from political instability jerks, such as the protest rally by an opposition party.

Along with all these developments, the foreign exchange reserves of the State Bank of Pakistan (SBP) are also stabilising, which is further strengthening the stock market.

By 10:40 AM, the index looked like this: