PSX soars over 700 points on 'imminent IMF deal'Business
The Pakistan Stock Exchange's (PSX) benchmark KSE-100 index was up more than 700 points in afternoon trading on Tuesday as investor sentiment was buoyed by the possibility of an announcement revealing Pakistan's deal with the International Monetary Fund (IMF) for the release of $1 billion loan tranche.
According to the PSX website, the index gained was up 786 points, or 1.88 per cent, at 3:05pm.
Raza Jaffrey, head of research at Intermarket Securities, said that there was "rising exuberance" in the market over reports that a staff-level agreement with the Fund was imminent.
"If this happens, it can unlock funding from other sources, lift foreign exchange reserves and help the rupee recover some ground. The stock market appears to be anticipating this chain of events," he told Dawn.com.
Ahsan Mehanti of the Arif Habib Corporation said stocks showed "sharp recovery" on the finance minister hinting at the resumption of the IMF bailout programme within a day or two.
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