PSX rises 400 points in early trade amid global equities surge, sharp rupee recoveryBusiness
Stocks continued to extend gains on Thursday, with analysts attributing the bullish trend to the rupee’s sharp recovery and surging global equities.
According to the Pakistan Stock Exchange (PSX) website, the benchmark KSE-100 index gained 423.99 points or 1.03 per cent by 10:44am to reach 41,492.86 points.
Ahsan Mehanti of Arif Habib Corporation said the stock market continued its bullish trend in earnings season on surging global equities and sharp rupee recovery.
His view was shared by Raza Jafri, head of research at Intermarket Securities, who said the rupee’s recovery was feeding into improved sentiment in the stock market.
“Valuations are at distressed levels and the bounce can extend in the near term. Investors who had lost interest in the last few months are now circling back,” he added.
The local currency recovered by Rs9.59 yesterday, making the largest single-day gain in decades after weeks of battering amid political and economic turmoil.
Mehanti also said that reports of the Chinese rollover of debt and the International Monetary Fund’s (IMF) statement that Pakistan had completed all prior actions required for the seventh and eighth review acted as a catalyst in the stock market’s rise.
More to follow.