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Pakistan Stock Exchange named best performing in Asia , Fourth-best performer in the world : RT

Expecting a further decline in the PSX in the coming days. No high hopes from this new government.

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PSX feels pressure before monetary policy

Pakistan Stock Exchange (PSX) on Wednesday remained under pressure as investors exercised caution ahead of the monetary policy announcement in mid-March and potential negotiations with the International Monetary Fund (IMF) for a new loan package.

In the morning, trading kicked off with a spike and the market climbed during initial hours. Buying activity was observed throughout the first half as investors cherished Prime Minister Shehbaz Sharif’s directives to open talks with the IMF for an Extended Fund Facility (EFF).

Bulls dominated proceedings until midday, immediately after which the KSE-100 index touched its intra-day high of 66,150.94.

Afterwards, market sentiment turned negative when investors weighed the potential impact of the upcoming monetary policy announcement and resorted to cautious trading.

They went for profit-booking during the final hour, pushing the bourse slightly into the negative territory. The index shed nearly 70 points and closed below the 66,000 mark.

“Stocks closed lower on investor speculation ahead of monetary policy announcement on March 18 and concerns over the public debt that reached Rs64.84 trillion, up 6.6% for Jul-Jan FY24,” said Arif Habib Corp MD Ahsan Mehanti.

“Falling rupee and uncertainty about IMF’s new terms for a long-term bailout to meet the debt servicing shortfall of $6 billion in FY24 played the role of catalysts in bearish close of the market.”

At close, the benchmark KSE-100 index recorded a slight decrease of 69.42 points, or 0.11%, and settled at 65,656.62.

Topline Securities Deputy Head of Sales Ali Najib, in his report, said that the “66,000 level is a hard nut to crack”.

“Pakistan equities initiated business on a positive note. The buying momentum can be attributed to the government’s focus on the economy reflecting PM’s directives to the finance ministry to start talks with the IMF on the ongoing standby arrangement, which will lead to the release of last tranche of $1.2 billion, and the potential new programme of around $6-8 billion,” he said.

However, investors chose to resort to some profit-taking above 66,000 points, which pushed the index to shed earlier gains.

Engro Corporation, Mari Petroleum and TRG Pakistan saw some selling as they lost 114 points, Topline added.

Arif Habib Limited (AHL) reported that there was “additional churning” around 66,000 before it moved to the new all-time highs.

“S&P Global says it is closely monitoring Pakistan’s external funding situation for the next fiscal year, and there is little doubt about the nation’s ability to fulfill its debt obligations through June. The key thing is securing the IMF funding,” said Yee Farn Phua, sovereign analyst at S&P in Singapore.

“Once the IMF programme is initiated and the government starts working on policies listed in the programme, bilateral partners will also come in for FY25,” AHL added.

JS Global analyst Mubashir Anis Naviwala said that profit-taking continued across the board. “The market opened in the green zone but was unable to sustain that momentum,” he said.

“Going forward, we recommend investors to adopt a buy-on-dips strategy in banking, exploration and production, and technology sectors,” the analyst added.

Overall trading volumes increased to 419.7 million shares against Tuesday’s tally of 396.6 million. The value of shares traded during the day was Rs18.3 billion.

Shares of 354 companies were traded. Of these, 163 stocks closed higher, 172 dropped and 19 remained unchanged.

Cnergyico PK was the volume leader with trading in 30.7 million shares, gaining Rs0.04 to close at Rs4.63. It was followed by Pakistan International Airlines with 28.1 million shares, gaining Rs0.71 to close at Rs14.51 and Pakistan Refinery with 28.04 million shares, losing Rs0.44 to close at Rs28.52.

Foreign investors were net buyers of shares worth Rs143.1 million, according to the NCCPL.

SOURCE: The Express Tribune
 
Stocks extend losses on economic uncertainty

Amid falling foreign exchange reserves of the State Bank of Pakistan and uncertainty about the interest rate outlook, the stock market extended its losing streak for the third straight day on Thursday as some investors resorted to profit-taking as a result the benchmark KSE 100-share index saw another day of losses in a volatile session.

Ahsan Mehanti of Arif Habib Corporation said the market sentiments remained depressed due to economic uncertainty due to the International Monetary Fund’s new conditions for liberalising imports, higher taxation and power tariff reforms.

He said the oil sector outperformed on strong financials and Govt revised refineries policy supporting upgradation.

Topline Securities Ltd said the index witnessed a volatile session marked by an intraday high of 217.53 points and an intraday low of 468.94 points.

On the political front, Prime Minister Shehbaz Sharif has pledged to devote himself tirelessly to resolving the country’s crisis, with expectations that his cabinet members’ names would be finalised within the next 48 hours.

However, the fall in international coal prices to $100 per tonne attracted buying interest cement sector as a result DG Khan Cement was up 1.29pc, Pioneer Cement 0.92pc and Kohat Cement Company 2.16pc.

Consequently, the banking, oil exploration, fertiliser and power sectors made positive contributions to the index, with OGDC, Pak Electron Ltd, Hub Power, Pakistan Petroleum Ltd and Dawood Hercules Corporation Ltd collectively adding 134 points. However, Bank AlHabib, MCB Bank, Engro Corporation and Meezan Bank Ltd came under selling pressure cumulatively wiping out 121 points from the index.

As a result, the KSE-100 index closed at 65,603.09 points after shedding 53.53 points or 0.08 per cent from the preceding session.

The overall trading volume fell 15.62pc to 354.15 million shares. The traded value also dipped 21.27pc to Rs14.43bn on a day-on-day basis.

Stocks contributing significantly to the traded volume included Pak Elektron (31.07m shares), Telecard Ltd (22.63m shares), P.I.A.C.(A) (21.56m shares), WorldCall Telecom Ltd (20.84m shares), and Cnergyico PK Ltd (19.36 million shares).

Shares registering the biggest increases in their share prices in absolute terms were Unilever Pakistan Foods (Rs400), Rafhan Maize Products Company Ltd (Rs111.12), Sazgar Engineering (Rs28.72) Al-Abbas Sugar Mills Ltd (Rs16.60) and Mari Petroleum Ltd (Rs7.54).

Companies registering the biggest decreases in their share prices in absolute terms were Nestle Pakistan (Rs310.00), Mehmood Textile (Rs22.50), Dawood Lawrencepur (Rs11.75), Pakistan Hotels Developers Ltd (Rs11.27) and Service Industries Ltd (Rs6.44).

Foreign investors remained net buyers as they picked shares worth $3.49m.

SOURCE: DAWN
 
PSX ends week in green as IMF backs new deal

Equities at the Pakistan Stock Exchange (PSX) closed the week’s final session on a high note as the International Monetary Fund (IMF) said it will support formulating a new economic programme for the country if the new government seeks one.

During Friday’s trading session, the benchmark KSE-100 index gained throughout the day, with both the volume and value of shares surging compared to the previous session.

The index closed at 65,794 points, up by 0.3 per cent, or 190.7 points. The major positive contributions to the index came from Dawood Hercules Corporation Ltd, Engro Fertilisers Ltd, Pakistan Services Ltd, Shell Pakistan Ltd, and National Refinery Ltd, which collectively contributed 175 points to the index.

Ahsan Mehanti of Arif Habib Corporation said the rally of dollar bonds to the March 2022 peak, upbeat data on the trade deficit shrinking by 30.2 per cent year-on-year for July-February, and strong rupee recovery also played a catalyst role in the bullish close at the PSX.

Investor participation increased on a day-on-day basis, with traded volume rising 36pc to 481.7 million shares and traded value jumping 18pc to around Rs17 billion.

K-Electric was today’s volume leader, with 59m shares changing hands during Friday’s session. This interest in the company can be attributed to news that the mediation process between K-Electric and government entities has started.

The KSE-100 index increased by 0.7pc on a week-on-week basis as the market reacted positively to the directives of Prime Minister Shehbaz Sharif to the Ministry of Finance to make preparations for holding crucial talks with the IMF, according to Topline Securities.

The average traded volume and value during the week stood at 425m shares and Rs16.5bn, respectively.

Stocks contributing significantly to the traded volume included K-Electric (59.08m shares), Cnergyico (51.47m shares), Kohinoor Spinning (45.95m shares), Telecard Ltd (32.68m shares), and Pakistan Refinery (31.49m shares).

Shares registering the biggest increases in their share prices in absolute terms were Nestle Pakistan (Rs160), Pakistan Services Ltd (Rs29.99), Mehmood Textile (Rs27.83), Sazgar Engineering (Rs22.78), and National Refinery (Rs19.52).

Companies registering the biggest decreases in their share prices in absolute terms were Rafhan Maize (-Rs345), Premier Sugar Mills (-Rs23.75), Hoechst Pak (-Rs20), Bata Pakistan (-Rs18.50), and Lucky Core Industries (-Rs14.43).

Foreign investors remained net sellers as they offloaded shares worth $0.2m.

SOURCE: DAWN
 
Stock market manages to post modest gain in mixed week

The stock market managed to close the topsy-turvy week in the green.

Heralding political stability after Shehbaz Sharif took oath as the 24th prime minister of Pakistan, the market staged a robust rally of 626 points in the first session of the outgoing week which propelled the benchmark KSE 100-share index briefly above 66,000 points but settled below this level.

However, the market in the subsequent three sessions suffered mild losses as a falling rupee and surging external debts amid uncertainty about new conditions by the International Monetary Fund (IMF) triggered nervous selling by a section of investors.

Mr Shehbaz, after assuming responsibilities as head of the government, immediately issued directions to his finance team to start preparations for engaging the IMF for the final review under the current $3bn Stand-By Arrangement and negotiating a fresh longer-term Extended Fund Facility which is direly needed to tackle the country’s balance of payments crisis.

However, the IMF is awaiting a formal request from the government which is in the process of finalising its cabinet members, more crucially the finance minister, to lead the talks.

The IMF has already proposed the liberalisation of imports and a doubling of taxes for both salaried and non-salaried individuals to the Federal Board of Revenue. Additionally, it recommends raising the general sales tax rate to 18pc for various essential items such as unprocessed food, stationery, medicines and POL products.

On the economic front, Arif Habib Ltd said the government raised Rs527 billion through the auction of market treasury bills at slightly reduced rates in the outgoing week. Furthermore, textile exports climbed up by 20 per cent year-on-year to $1.4bn in February.

Moreover, remittances increased by 13pc year-on-year to $2.2bn in February. In addition to this, the SBP reserves fell by $54m to $7.9bn in the week ending on Feb 29. The rupee appreciated by 15 paise or 0.05pc to Rs279.04 against the US dollar week-on-week.

As a result, the KSE 100 index closed at 65,794 points after adding 468 points or 0.7pc week-on-week.

Sector-wise positive contributions came from oil & gas exploration (217 points), refinery (105 points), fertiliser (76 points), power generation & distribution (61 points) and cement (61 points). Meanwhile, the sectors which mainly contributed negatively were commercial banks (210 points), chemicals (23.11 points), and tobacco (18 points). Scrip-wise positive contributors were Dawood HerculesCorporation Ltd (175 points), Oil and Gas Development (164 points), Pakistan Petroleum (89 points), Hub Power Company (62 points) and National Refinery Ltd (46 points). Meanwhile, scrip-wise negative contributions came from Meezan Bank Ltd (93 points), Fauji Fertiliser Company (65 points), Habib Bank Ltd (47 points), Bank Alhabib Ltd (44 points) and Engro Corporation (42 points).

Foreign buying continued during the outgoing week, clocking in at $6.3 million compared to a net buy of $10.4m in the preceding week. Major buying was witnessed in commercial banks ($7.9m) and fertiliser ($0.5m). On the local front, selling was reported by Companies ($6.8m) followed by insurance companies ($0.7m). Average volume showed a light rise of 1.6pc to 425m shares while the average value traded rose 6.4pc to $59m week-on-week.

According to AKD Securities Ltd, the Monetary Policy Committee meeting on March 18 would remain in the limelight. Although with prevailing consensus of the status quo, the market would likely remain largely unaffected as this expectation is already priced in. However, if there is any surprise cut, it could unlock funds towards debt-heavy cyclical sectors.

Additionally, the imminent announcement of the federal cabinet in the coming week holds significance, with progress on the IMF’s SBA final tranche of $1.1bn as a near-term focal point and a potential positive in sight.

SOURCE: DAWN
 
PSX wipes out all gains, falls marginally

Pakistan Stock Exchange (PSX) on Monday came under downward pressure from selling of selective stocks and the benchmark KSE-100 index registered a marginal decline of nearly 40 points.

The weakening of global equities and growing apprehensions about economic uncertainty in Pakistan drove the stock market down, after wiping out all the earlier gains.

In the morning, the bourse began trading on a positive note with the momentum being fuelled by the formation of a new cabinet, whose members took oath during the day.

Prime Minister Shehbaz Sharif convened the first cabinet meeting in the evening. As a result, the market briefly crossed the 66,000 mark, reaching intra-day high at 66,119.34 points post-midday trading.

However, concerns surrounding the upcoming monetary policy announcement and the outcome of government’s negotiations for a new International Monetary Fund (IMF) loan package led to a shift in sentiment.

Consequently, the index struggled to maintain the 66,000 level and eventually fell to the intra-day low at 65,698.76 points right before close.

“Stocks closed under pressure amid weak global equities and concerns over economic uncertainty in the country,” said Arif Habib Corp MD Ahsan Mehanti.

“Uncertainty about monetary policy announcement on March 18 and concerns over the outcome of government negotiations for a new IMF loan played the role of catalysts in negative close of the market.”

At close, the benchmark KSE-100 index recorded a slight decrease of 38.45 points, or 0.06%, and settled at 65,755.31.

Topline Securities Deputy Head of Sales Ali Najib, in his report, said that earlier buying momentum could be attributed to the formation of the cabinet, which took oath on Monday.

“However, 66,000 has so far proved to be a ‘quagmire area’ where bullish forces face tough competition and eventually surrendered for the fifth time since last week,” he said.

Power, fertiliser, tech, auto and pharma sectors contributed positively to the index as Hub Power, Fauji Fertiliser, Pakistan Telecommunication Company, Millat Tractors and The Searle Company added 95 points.

On the flip side, Dawood Hercules Corporation, Pakistan Services and Nestle Pakistan saw stock selling as they collectively lost 160 points, Topline added.

Arif Habib Limited (AHL) reported that there was “additional flirting with 66,000 at the commencement of the week as tech names remained strong.”

Hub Power (+1.23%), Millat Tractors (+1.18%) and Fauji Fertiliser (+0.73%) were the biggest contributors to the index’s gains, it said.

Tech names Air Link Communication (+7.5%) and Pakistan Telecommunication Company (+8.11%) were both limit up and the sector was expected to remain strong.

Other notable performers were Hascol, Hi-Tech Lubricants, Ghandhara Industries and Crescent Steel, which “has now gained 33% MTD (month to date)”.

“HBL CEO Muhammad Aurangzeb has resigned from his post and is among the 19 who took oath as ministers in PM Shehbaz’s cabinet and is the front runner for the finance ministry,” AHL report added.

Overall trading volumes increased to 548.8 million shares against Friday’s tally of 481.7 million. The value of shares traded during the day was Rs16.6 billion.

Shares of 357 companies were traded. Of these, 220 stocks closed higher, 118 dropped and 19 remained unchanged.

Cnergyico PK was the volume leader with trading in 96.5 million shares, gaining Rs0.22 to close at Rs5.11. It was followed by Hascol Petroleum with 52.3 million shares, gaining Rs0.66 to close at Rs8.50 and Kohinoor Spinning Mills with 27.3 million shares, losing Rs0.21 to close at Rs5.31.

Foreign investors were net buyers of shares worth Rs50.2 million, according to the NCCPL.

SOURCE: The Express Tribune
 
Stocks spike as SBP keeps rate on hold

Pakistan Stock Exchange on Tuesday extended its gains from the previous day as it surged over 600 points following military strikes on terrorist hideouts and announcement of monetary policy where the State Bank of Pakistan (SBP) kept the policy rate unchanged.

In the morning, trading began on a positive note, but soon the KSE-100 index touched its intra-day low of 64,940.17 points. It swiftly rebounded and breached the 65,000 barrier. The index reached the intra-day high of 65,624.72 points after midday.

The upbeat market sentiment was primarily driven by expectations of an imminent staff-level agreement on the conclusion of last review under the International Monetary Fund (IMF) standby arrangement (SBA), coupled with SBP governor’s assurance of a $2 billion loan rollover in two weeks.

Moreover, plans to seek an additional $4 billion in rollovers boosted investor confidence, which helped lift the index. Notably, banking, fertiliser and exploration and production (E&P) sectors saw increased buying interest.

The market managed to maintain its upward trajectory for most of the day and closed above 65,000 with substantial gains.

“Stocks closed bullish after Pakistan hit TTP (Tehreek-e-Taliban Pakistan) hideouts in response to terror attacks and the SBP maintained the status quo in its key policy rate,” said Ahsan Mehanti, MD of Arif Habib Corp.

“Speculations about imminent staff-level agreement in the wake of final IMF review talks and the SBP governor’s assurance of a $2 billion loan rollover in two weeks and plans to seek $4 billion in further rollovers played the role catalysts in bullish close at the PSX.”

At close, the benchmark KSE-100 index recorded a surge of 612.09 points, or 0.94%, and settled at 65,502.60.

Topline Securities reported that positivity in the market could be attributed to the SBP deciding to keep the policy rate unchanged at 22%.

“A surge in buying activity swept through the market, with banking, fertiliser and E&P sectors emerging as the day’s primary beneficiaries,” it said.

MCB Bank, Meezan Bank, Habib Metropolitan Bank, Bank AL Habib, Engro Fertilisers, Fauji Fertiliser Company, Pakistan Oilfields and Mari Petroleum cumulatively added 319 points to the index.

Investors’ interest was mainly witnessed in the banking sector where Habib Metropolitan Bank (+4.85%), MCB Bank (+3.09%), Meezan Bank (+2.52%) and United Bank (+0.80%) closed higher than the previous day, Topline added.

Arif Habib Limited (AHL), in its report, commented that a constructive session was witnessed following the guessing game on whether the SBP would cut the rate or not.

Dawood Hercules Corp (+7.26%), MCB Bank (+3.08%) and Meezan Bank (+2.52%) were the biggest contributors to the index’s gains, it said, adding that Pakistan International Airlines and Pakistan Telecommunication Company both gained the maximum.

JS Global analyst Mubashir Anis Naviwala said that bullish momentum persisted as the KSE-100 surged to the intra-day high of 65,625 before concluding the session at 65,503, gaining 612 points.

“Going forward, we anticipate the bullish trend to continue. We advise investors to capitalise on any downtrend as an opportunity to invest in banking, cement and E&P sectors,” the analyst added.

Overall trading volumes increased to 323.3 million shares against Monday’s tally of 211.8 million. The value of shares traded during the day was Rs17.1 billion.

Shares of 341 companies were traded. Of these, 184 stocks closed higher, 140 dropped and 17 remained unchanged.

WorldCall Telecom was the volume leader with trading in 27.8 million shares, gaining Rs0.02 to close at Rs1.38. It was followed by Telecard Limited with 20.8 million shares, gaining Rs0.23 to close at Rs9.23 and The Bank of Punjab with 17.9 million shares, losing Rs0.09 to close at Rs6.14.

Foreign investors were net sellers of shares worth Rs465 million, according to the NCCPL.

SOURCE: The Express Tribune
 
Equities maintain bullish trend on steady policy rate, IMF deal

The stock market largely maintained a bullish tone in the outgoing week aided by a policy rate status quo and the reaching of a Staff-Level Agreement (SLA) with the International Monetary Fund despite some investor concerns about certain harsh conditions for the release of the last tranche of $1.1bn under the current Stand-By Arrangement (SBA).

AKD Securities Ltd said the outgoing week commenced with the State Bank of Pakistan’s Monetary Policy Committee meeting on Monday, where the central bank maintained its policy rate at 22 per cent for the sixth consecutive review, though the decision did not impact the market as it was already expected and priced-in.

Furthermore, talks with the IMF mission on the SBA’s final review concluded on Tuesday with an SLA, resulting in infused positivity into the equity market and international investors as well as appreciation in dollar bonds hitting a two-year high and the benchmark KSE 100-share index staging a robust rally.

As discussions progressed, prerequisites for the next medium-term programmes have surfaced, primarily focusing on broadening the tax base. News has circulated about a new plan to collect taxes from retailers through electricity bills, which has been shared with the IMF.

Additionally, IMF has recommended eliminating general sales tax exemptions on petroleum products and other taxes, whereby, despite easing weekly inflation, an increase in gas price (as sought by Sui companies) and implementation of 18pc GST on POL products pose risks to the inflation outlook.

On the economic front, the current account for February turned positive, with a surplus of $128m, narrowing the current account deficit to just below the $1bn mark in 8MFY24. With a controlled current account balance, SBP’s reserves position also increased by $105m reaching $8.0bn during the week ended on March 15.

With the IMF’s smooth review, market participation improved by 13pc WoW, with the daily traded volume averaging at 323m shares compared to 287m shares in the previous week.

Arif Habib Ltd said the stock market remained mixed since the investors maintained a careful stance in the outgoing week.

On the other hand, foreign direct investment (FDI) declined by 17pc year-on-year in the 8MFY24, arriving at $821m. The rupee closed at Rs278.14 against the greenback, strengthened by Rs0.60 or 0.22pc week-on-week.

As a result, the market closed at 65,152 points after adding 335 points or 0.52pc week-on-week.

Sector-wise positive contributions came from fertiliser (475 points), commercial banks (309 points), paper & board (34 points), automobile assemblers (29 points) and tobacco (21 points).

Meanwhile, the sectors which negatively contributed were cement (244 points), oil & gas exploration companies (156 points), technology & communication (40 points), refinery (30 points) and food & personal care products (24 points).

Scrip-wise positive contributors were Dawood Hercules (212 points), Meezan Bank Ltd (172 points), Fauji Fertiliser Company (164 points), National Bank of Pakistan (105 points) and MCB Bank (77 points). Meanwhile, scrip-wise negative contributions came from Pakistan Petroleum Ltd (117 points), Oil and Gas Development Company Ltd (115 points), Habib Bank Ltd (84 points), Systems Ltd (77 points) and Lucky Cement (76 points).

Foreign buying continued during the outgoing week, clocking in at $2.0m compared to a net buy of $2.7m last week. Major buying was witnessed in commercial banks ($0.8m) and exploration & production ($0.6m). On the local front, selling was reported by companies ($9.0m) followed by banks/DFIs ($5.0m).

AKD Securities Ltd noted that with the aforementioned tax reforms, price increases, particularly with the imposition of GST on POL products, could pose a risk to the CPI-based inflation outlook and potential delay in interest rate cuts, resulting in restrained market performance.

However, successful implementation of tax reforms would have a positive impact on long-term economic stability.

Additionally, with the SBP’s real effective exchange rate increasing to 102.2 in February, there is a risk of currency devaluation, especially in case of increased smuggling or imports.

It advises investors to remain cautious and maintain positions in strong valuation main board stocks, particularly those offering attractive dividend yields.

SOURCE: DAWN
 
Stocks rebound on World Bank loan approval

Pakistan Stock Exchange (PSX) on Monday experienced a significant recovery, driven by the World Bank’s approval of $150 million project financing and completion of final review under the International Monetary Fund’s (IMF) $3 billion standby arrangement (SBA).

In the morning, the market saw a lacklustre start with the KSE-100 index touching the intra-day low of 65,301.73 points. However, investor sentiment turned positive as data revealed a current account surplus of $128 million in February alongside surging global crude prices and the rebound in Pakistani rupee following IMF’s initial approval of a $1.1 billion tranche.

The oil and gas exploration sector led the market’s gains on reports of government efforts to draw investment from friendly countries in Pakistan’s largest hydrocarbon explorer. Banking, fertiliser and power sectors also helped push the index upwards.

Eventually, the bourse reached the intra-day high of 65,656.49 points but closed more than 100 points below the peak.

“Stocks showed a strong recovery as investors weighed the World Bank’s approval of $149.7 million project financing and Pakistan-IMF staff-level agreement in the final review,” said Ahsan Mehanti, MD of Arif Habib Corp.

“Upbeat data showing a $128 million current account surplus in February, higher global crude oil prices and rupee recovery after the IMF’s initial approval of a $1.1 billion tranche played the role of catalysts in bullish close at the PSX.”

At close, the benchmark KSE-100 index recorded an increase of 373.82 points, or 0.57%, and settled at 65,525.65.

Topline Securities, in its report, said that Monday’s trading session began on a positive note. “The oil and gas exploration sector spearheaded the market’s gains following reports of Pakistan government’s intention to solicit investments from friendly nations in the country’s largest hydrocarbon explorer,” it said.

Consequently, Oil and Gas Development Company (+2.90%) and Pakistan Petroleum (+1.66%) closed in the green. Overall, banking, exploration and production (E&P), fertiliser and power sectors contributed significantly to the index’s rise.

Among these sectors, Hub Power, Oil and Gas Development Company, National Bank of Pakistan, Engro Fertilisers and Pakistan Petroleum collectively added 269 points.

Conversely, Systems Limited, Lucky Cement, Habib Bank and Service Industries faced selling pressure, resulting in a combined loss of 72 points, Topline added.

Arif Habib Limited (AHL), in its review, wrote that the PSX “moved higher within the 64,000-66,000 range at the start of the week.”

Hub Power (+2.22%), Oil and Gas Development Company (+2.9%) and National Bank of Pakistan (+7.5%) were the biggest contributors to the index’s gains, AHL said, adding that Systems Limited (-1.02%) declared CY23 earnings per share of Rs29.8, up 31% year-on-year, along with dividend of Rs6 per share, which saw the stock hit the day’s low at Rs385 before recovering to close at Rs391.89.

JS Global analyst Mubashir Anis Naviwala observed that the PSX remained positive and closed at 65,526 with gains of 374 points.

“Going forward, we recommend investors to view any downside as an opportunity to invest in banking, E&P and technology sectors,” the analyst added.

Overall trading volumes increased to 261.2 million shares against Friday’s tally of 208.4 million. The value of shares traded during the day was Rs8.9 billion.

Shares of 334 companies were traded. Of these, 145 stocks closed higher, 169 dropped and 20 remained unchanged. Pakistan Telecommunication Company was the volume leader with trading in 27.2 million shares, gaining Rs1.05 to close at Rs15.70. It was followed by Hascol Petroleum with 21.4 million shares, gaining Rs0.54 to close at Rs8.08 and K-Electric with 20.9 million shares, gaining Rs0.19 to close at Rs4.57.

Foreign investors were net buyers of shares worth Rs862.5 million, according to the NCCPL.

SOURCE: EXPRESS TRIBUNE
 
Bulls dominated the trading floor of the Pakistan Stock Exchange (PSX) on Wednesday as shares gained over 600 points, with analysts attributing the gains to “good progress” made regarding the privatisation of Pakistan International Airlines (PIA).

On Tuesday, the federal cabinet approved the board of PIA Holding Company, with former State Bank governor Tariq Bajwa being appointed as its chairman.

The move was hailed as a significant development in the national carrier’s privatisation process as its liabilities and assets will be transferred to the holding company, which will be registered with the Securities and Exchange Commission of Pakistan. The board will include seven independent directors and four government officials.

Today, at 11:14am, the benchmark KSE-100 index gained 520.58 points from the previous close of 65,906.27. By 1:43pm, it advanced by a further 143 points, cumulatively gaining 663.71 points to reach 66,529.98 points, or 1.01 per cent ahead.

Finally, the index closed at 66,547.78 points, up by 641.51 or 0.97pc, from the previous close.

It should be noted that that the index crossed the all-time high record of 66,426.78 points previously set on December 12.

Mohammed Sohail, chief executive of Topline Securities, said “good progress” made regarding the privatisation of the national carrier and a “likely new deal with the International Monetary Fund (IMF)” was helping market sentiment.

He highlighted that the benchmark index was once again closing in on the all-time high number of 66,427 points, which was seen in December.

Moreover, he said that foreign fund buying — as shown by National Clearing Company of Pakistan Limited (NCCPL) data — also supported share prices “which are trading at an attractive price-to-earning ratio of less than four”.

He said that currently the country’s market was the best performing market with the highest gains in last six months.

Shahab Farooq, director of research at Next Capital Limited, attributed the rally to “positive developments” on the macroeconomic front such as the progression of PIA’s privatisation and moving ahead with the new IMF deal.

“The finance minister’s statement regarding interest rates and foreign buying are [also] fueling positive sentiments in the market,” he said.

In an interview earlier this month, the finance minister had talked about the need for getting “our house in order by reducing government expenditure”. He had also expressed the hope that the credit rating of the country would improve, and macroeconomic stability would follow.

Yousuf M. Farooq, director of research at Chase Securities, said, “The relative calm on the political front, coupled with the finance minister’s rational interview on a media channel, alongside institutional and foreign buying this morning, has kept investors upbeat.”

However, he warned that participants were getting increasingly concerned about the record high interest rate “which could potentially lead to more defaults and non-performing loans (NPLs), particularly in the textile sector where higher energy costs compared to peers are making textile firms uncompetitive”.

Source: Dawn News
 
PSX reaches new high, crosses 67,000 milestone in intraday trade

Bulls continued their stampede at the Pakistan Stock Exchange (PSX) on Thursday as shares gained over 600 points in intraday trade as analysts attributing the rally to progress regarding the privatisation of Pakistan International Airlines (PIA).

The KSE-100 index gained 639.22 points, or 0.96 per cent, to stand at 67,187 at 11am from the previous close of 66,547.78 points.

Arif Habib Limited, in a post on X (formerly Twitter) at 10:50am, said the index had crossed previous high level of 67,094 on intraday basis.

A day earlier, strong international interest following significant progress towards privatisation of the national flag carrier and optimism about International Monetary Fund (IMF) inflows early next month had triggered a fresh buying spree, tossing the KSE 100-share index to an all-time high closing above 66,500 level.

It should be mentioned that on Tuesday the federal cabinet had approved the board of PIA Holding Company. The move was hailed as a significant development in the national carrier’s privatisation process as its liabilities and assets will be transferred to the holding company, which will be registered with the Securities and Exchange Commission of Pakistan.

Speaking to Dawn.com today, Mohammed Sohail, chief executive of Topline Securities, observed that the rally continued on Thursday with the KSE-100 index crossing the 67,000 mark.

“Foreign and local institutions buying amid positive news on privatisation and IMF,” he said.

Tahir Abbas, head of research at Arif Habib Limited, said, “This robust performance is primarily attributable to political clarity, successful staff-level agreement (SLA) with the IMF and initiation of talks with the Fund for a bigger and longer tenure programme.”

He also cited the attractive valuation of the market “as it is still trading at the price-to-earning ration of 4.4x”, adding that foreign interest and inflows in the market helped propel the momentum.

Source: Dawn News
 
Stocks falter on dismal GDP growth, costly power

Amid an economic slowdown in the second quarter of the current fiscal year and a substantial hike in electricity tariffs, the stock market snapped its four-day winning streak on Friday. As a result, the benchmark index faltered from an all-time high level hit a day earlier.

Ahsan Mehanti of Arif Habib Corporation said the National Electric Power Regulatory Authority’s (Nepra) approval of a Rs2.75 per unit hike in the uniform electricity tariff for the April-June quarter and a sharp slowdown in GDP growth to 1pc in 2QFY24 compared to 2.2pc in the same quarter last year depressed market sentiments, triggering profit-taking by institutional investors.

The power regulator, however, has raised serious concerns as the power companies were also seeking an additional Rs4.99 per unit in fuel cost adjustment (FCA) for electricity consumed in February. The net increase would be Rs7.63 per unit for extra fuel cost, which would make it impossible for the industry to absorb such shocks on a continuous basis.

Topline Securities Ltd said a range-bound session was observed as the index traded between its intraday high of 166 points and intraday low of 320 points.

As a result, the KSE-100 index closed at 67,005.11 points after losing 137.02.34 points or 0.20 per cent from the preceding session.

The overall trading volume squeezed 25.66pc to 313.03 million shares. The traded value also plunged by 38.73pc to Rs9.89bn on a day-on-day basis.

Stocks contributing significantly to the traded volume included Pakistan International Airlines Corporation (39.19m shares), Pakistan Telecommunication Company Ltd (32.21m shares), Cnergiyco PK Ltd (18.94m shares), K-Electric (15.43m shares) and Agritech Ltd (14.21m shares).

The shares registering the most significant increases in their share prices in absolute terms were Hoechst Pak (Rs70.00), Pakistan Tobacco Company Ltd (Rs42.95), Shahmurad Sugar Mills Ltd (Rs35.63), Hallmark Company Ltd (Rs34.85), and Lucky Core Industries Ltd (Rs11.00).

The companies registering the biggest decreases in their share prices in absolute terms were JDW Sugar Mills Ltd (Rs15.50), Mehmood Textile Mills Ltd (Rs10.97), Khyber Tobacco Company Ltd (Rs10.94), Pakistan Hotels Developers Ltd (Rs9.95), and Gillette Pakistan Ltd (Rs8.04).

Despite the FTSE Russell retaining Pakistan’s secondary emerging market status for six more months, foreign investors remained net sellers as they offloaded shares worth $0.23m.

Source: Dawn News
 
Shares at PSX reach all-time high as KSE-100 index crosses 70,000 milestone

Bulls continued to dominate the trade floor on Tuesday as shares at the Pakistan Stock Exchange (PSX) surged by more than 800 points in intraday day on optimism regarding an impending Saudi investment.

The KSE-100 index climbed up to 70,493.02, up by 873.04 points or 1.25 per cent, from the previous close of 69,619.98 points at 10:57am.

Mohammed Sohail, chief executive of Topline Securities, noted that the market crossed the 70,000 milestone “amid positive news on Saudi investment and deposits”.

It should be noted that the Prime Minister Shehbaz Sharif and Crown Prince Mohammed bin Salman have agreed to expedite the first wave of a planned $5 billion Saudi investment package for Pakistan, according to the joint statement issued by both countries.

“Continuous foreign buying is also helping equities,” Sohail said, adding that the benchmark KSE-100 index is now up by almost 70pc from June end.

Shahab Farooq, director of research at Next Capital Limited, echoed the same sentiment. He said, “Optimism of investment package from Saudi Arabia, high remittances, and continued foreign buying are fueling positive sentiments in the market.”

Earlier, the State Bank of Pakistan (SBP) date showed that remittances increased to almost $3 billion in March, taking it to the highest level since April 2022, primarily due to Ramazan.

Yousuf M Farooq, director of research at Chase Securities, said, “The market has continued to rally on optimism regarding the economy.”

“Remittance numbers for March 2024 came in at $3bn, likely resulting in a current account surplus for the month, which bodes well for currency stability,” he said, adding that the surplus would likely exert downward pressure on inflation by keeping the currency stable.

He explained, “Lower inflation should lead to lower interest rates and higher valuations at the stock exchange. Participants are factoring in expectations of better earnings and lower interest rates going forward.”

SOURCE: DAWN
 
Some positive stuff finally
====
KSE-100 index breaches 71,000, hits record high during intraday trade

The Pakistan Stock Exchange’s (PSX) benchmark KSE-100 index traded at a record high of 71,474 points, up 0.8 per cent, after earlier breaching the key 71,000 level on Monday.

The KSE-100 index gained 631.86, or 0.89 per cent, to stand at 71,541.76 points at 11:38am from the previous close of 70,909.90.

The market has surged 74pc over the past year and is up 10.43pc year-to-date.

Pakistan is aiming to agree on the outline for a new International Monetary Fund (IMF) loan on May, and “good March quarter dividends are helping share prices which despite rallying are trading at forward looking price-earning ratio of 4,” said Sohail Mohammed, CEO of Karachi based brokerage company, Topline Securities.

Yousuf M Farooq, director of research at Chase Securities, attributed today’s upward momentum “to media reports of Saudi investment in Reko Diq, the likelihood of Pakistan securing its next IMF programme and projections indicating a sharp decline in inflation and interest rates ahead”.

“Pakistan’s current account is in a positive and stable state, and the economy appears to be on the road to recovery. Persistent adverse economic conditions have resulted in significantly undervalued assets, and the current rally may simply be a reversion to the mean,” he added.

Overall, he said that “strong corporate earnings, good payout announcements and smooth IMF negotiations for a new programme” were key triggers for the rally.

Awais Ashraf, director of research at Akseer Research, echoed the same sentiments. “Investor confidence has improved due to the increasing prospects of Saudi investment in Pakistan and the declining trajectory of inflation,” he said.

Moreover, Ashraf observed interest in heavyweights like Oil and Gas Development Company (OGDC) and Pakistan Petroleum Limited (PPL) “driven by expectations of Saudi investment in Reko Diq and the government’s focus on reforms”.

“Additionally, commercial banks and fertiliser stocks are experiencing positivity in anticipation of higher payouts,” he said.

Shahab Farooq, director of research at Next Capital Limited, credited the bullish momentum to a “relatively stable Middle Eastern situation leading to decline in international crude oil prices”, positive news with regards to a fresh IMF programme and optimism on Saudi investments.

“Healthy results announcements are also contributing to the positive momentum,” he said.

Source: Dawn News
 
Bulls returned to the trading floor at the Pakistan Stock Exchange (PSX) as shares climbed nearly 700 points on Wednesday to breach the key 72,000 level for the first time.

The benchmark KSE-100 index gained 827.36, or 1.16 per cent, to stand at 72,186.76 at 12:21pm from the previous close of 71,359.40 points. Finally, the index closed at 72,051.89, up by 692.49 points or 0.97pc, from the previous close.

Mohammed Sohail, chief executive of Topline Securities, observed that this was yet “another record high at the PSX”. He attributed the rally to being “mainly led by institutional buying”.

“After record current account surplus, investors are now expecting a big fall in April CPI (Consumer Price Index) that may result in a cut in interest rate in coming months,” he added.

The KSE-100 index had breached the key 71,000 level on Monday.

Shahab Farooq, director of research at Next Capital Limited, attributed the upward momentum to “improving outlook of Pakistan’s economy with expected investments from the Kingdom of Saudi Arabia, ongoing disinflation (April 2024 inflation expected at 16.8pc with policy rate of 22pc) and expected beginning of monetary easing”.

Additionally, he said that such factors coupled with healthy results announcements propelled investor confidence in “investing in cyclical sectors” which included cement and steel, “along with continued interest in banks”.

“The market is rallying due to robust corporate earnings and anticipation of decreasing interest rates,” Yousuf M. Farooq, director of research at Chase Securities, said. He added that “some technical analysts predict a temporary pause in the market’s upward trend following an extended rally”.

“As the economy rebounds, certain sectors — especially cyclical — might experience significant earnings growth, and the market has begun to factor that in, to some extent,” Farooq said.

Additionally, Farooq observed that the drop in treasury yields the previous day had also “sparked excitement, with the one-year treasury bill down 49 basis points in the secondary market, driven by expectations of an interest rate decline”.

He explained: “The prospect of declining rates renders stocks more appealing, potentially prompting a shift from fixed income to equities over the next year.”

Farooq noted that some stocks still offered dividend yields of up to 20pc, which he said could further increase as earnings grow.

“In contrast, investments in government securities entail significant reinvestment risk. Opting for a one-year T-bill could result in locking in a considerably lower rate upon maturity of the current bond,” he highlighted.

Source: Dawn News
 
Stocks soar to new high above 72k

Benchmark KSE-100 index surges 692.49 points, settles at 72,051.89. Bulls made a comeback at the Pakistan Stock Exchange (PSX) on Wednesday as the KSE-100 index touched a new peak above the 72,000-point mark over improved economic prospects.

Earlier, trading began on an optimistic note and the KSE-100 index hit the intra-day high of 72,414.32 points in the initial hours as investor confidence returned following Finance Minister Muhammad Aurangzeb’s statement that Pakistan’s foreign exchange reserves could reach “anywhere between $9-10 billion” by the end of June.

A better economic outlook coupled with anticipation of disbursement of the International Monetary Fund’s (IMF) final loan tranche of $1.1 billion boosted the interest of market players.

Expectations of a decline in April inflation reading following a record current account surplus also aided the bullish momentum. Resultantly, the index touched a new all-time high above the 72,000 mark.

“Stocks closed bullish over a strong economic outlook,” said Ahsan Mehanti, MD of Arif Habib Corp. “Finance minister’s affirmation of forex reserves reaching $9-10 billion by June, speculation ahead of the State Bank’s policy announcement on April 29, strong earnings in the banking sector and new IMF loan talks played the role of catalysts in record close at the PSX.”

At close, the benchmark KSE-100 index recorded a surge of 692.49 points, or 0.97%, and settled at 72,051.89.

Topline Securities CEO Mohammed Sohail commented that the PSX saw “another record high with the index gaining around 1,000 points during the day, mainly led by institutional buying. After a record current account surplus, investors now expect a big fall in April CPI (Consumer Price Index) that may result in a cut in interest rate in the coming months”.

In its report, Topline Securities said the KSE-100 index surged, experiencing an intra-day high of 1,055 points and low of 107.61 points.

“This surge was propelled by positive shifts in market sentiment in the backdrop of economic metrics such as foreign exchange reserves and inflation trends, which ignited expectations of forthcoming monetary easing,” it said.

Cement, banking, power and automobile sectors contributed significantly to the market’s ascent, with notable contributions coming from Lucky Cement, Hub Power, Habib Bank, Millat Tractors and Systems Limited, which added 369 points.

Conversely, profit-taking was observed in Meezan Bank, Pakistan Tobacco and Pakistan Services, resulting in a cumulative loss of 85 points.

In the banking sector, MCB Bank and Bank Alfalah disclosed their financial results, with MCB Bank reporting earnings per share (EPS) of Rs15.04 and Bank Alfalah posting EPS of Rs6.31, accompanied by cash dividends of Rs9 and Rs2 per share, respectively, Topline added.

Arif Habib Limited (AHL), in its report, stated that the “72,000 handle was hit with another near 1% day-on-day gain”.

Tech names outperformed including Air Link Communication (+7.43%), NetSol Technologies (+6.29%), Octopus Digital (+7.5%) and Avanceon Limited (+7.5%), it said.

JS Global analyst Muhammad Shuja Qureshi said that the KSE-100 index closed at a record high.

Technology sector led the rally with Octopus Digital hitting its upper lock very early in the day. Cement and steel stocks continued their upward journey as investors anticipated a rate cut at next Monday’s monetary policy committee meeting, he said.

Refinery sector remained under pressure as Pakistan Refinery announced a loss for Q3. “The market is expected to post further gains, however, the possibility of profit-taking cannot be ruled out,” the JS analyst added.

Overall trading volumes decreased to 599.4 million shares against Tuesday’s tally of 655.9 million. The value of shares traded during the day was Rs24.5 billion.

Shares of 382 companies were traded. Of these, 218 stocks closed higher, 139 dropped and 25 remained unchanged.

Pakistan International Bulk Terminal was the volume leader with trading in 54.5 million shares, gaining Rs0.38 to close at Rs7.01. It was followed by K-Electric with 40.1 million shares, gaining Rs0.09 to close at Rs4.14 and Air Link Communication with 25.9 million shares, gaining Rs5.42 to close at Rs78.34.

Foreign investors were net sellers of shares worth Rs6.4 million, according to the NCCPL.

Source: The Express Tribune
 
Bearish momentum dominated the Pakistan Stock Exchange (PSX) on Monday as shares declined by 500 points in intraday trade.

Shortly after the opening bell, the index breached the 73,000 barrier to trade at a record high of 73,300 before plummeting.

However, the index declined by 506.70 points, or 0.7 per cent, to stand at 72,236.04 points at 12:27pm from the previous close of 72,742.74.

Mohammed Sohail, chief executive of Topline Securities, stated that after last week’s 5pc rally, investors chose to book profits today.

“Moreover there is uncertainty in whether or not the State Bank of Pakistan (SBP) will reduce the rates,” he said.

The State Bank of Pakistan (SBP)’s monetary policy committee (MPC) will meet today to take a decision regarding the key interest rate policy. Last month, the committee had chosen to maintain the status quo by upholding the key policy rate at 22 per cent for the sixth policy meeting in a row.

Tahir Abbas, head of research at Arif Habib Limited, said, “The market is taking some correction ahead of the monetary policy announcement later today.”

He observed that different surveys suggested “a clear divide of 50-50pc” on expectations of a rate cut.

Awais Ashraf, director of research at Akseer Research, noted that the downward trajectory indicated “a cautious stance among investors ahead of the MPC announcement, amid divided expectations regarding a potential rate cut.”

“Additionally, disappointing results from Mari Petroleum and reduced cash payouts from Hub Power Company also contributed to the downward pressure on the index,” he added.

Source: Dawn News
 
Stocks down 1,048 points on rate uncertainty

After briefly hitting a new all-time high above the 73,000 level in early trading on Monday, the stock market failed to extend an overnight bull run and closed in the red amid uncertainty about a rate cut ahead of the monetary policy announcement.

Ahsan Mehanti of Arif Habib Corporation said the market witnessed an across-the-board selling spree on expectations for prudent SBP monetary policy with risks ahead to resolve circular debt crises, reforms on tax rates, fiscal consolidation and geopolitical noise.

He said institutional profit-taking in selected overbought stocks and likely structural reforms for the IMF’s new programme to end subsidies in the energy, fertiliser, and gas sectors also contributed to bearish sentiment.

Topline Securities Ltd said equities began the week on a mixed note ahead of two key events scheduled later in the day: a monetary policy review and the IMF’s board meeting to approve the last tranche under the $3bn Stand-By Arrangement.

Street view was scattered almost 50/50 between ‘no-change’ and 50-100bps cut. Moreover, IMF’s Executive Board will likely approve the $1.1bn tranche as Pakistan reached a Staff-Level Agreement last month following a successful review.

Continuing last week’s buoyant momentum, investors built up positions in selected shares, tossing the KSE 100 index to new highs but profit-taking at the day’s highs compelled the benchmark index to shed earlier gains.

Power, fertiliser and E&P sectors contributed to the sell-off the most where Hub Power, Engro Fertilisers, Fauji Fertiliser, Oil and Gas Development and Mari Petroleum wiped 497 points from the index.

However, Fauji Fertiliser Bin Qasim Ltd, National Foods and Highnoon Laboratories Ltd cumulatively added 71 points due to some buying interest witnessed in them.

As a result, the index hit an intraday record high of 73,300.75 and a low of 71,764.18. However, it closed at 71,695.03 points after losing 1,047.71 points, or 1.44pc, from the preceding session.

Source: Dawn News
 
Saudi optimism lifts PSX to new peak

Growing optimism about likely major business deals during the visit of a high-powered Saudi trade delegation lifted the benchmark KSE 100-share index to a new all-time high on Monday.

Ahsan Mehanti of Arif Habib Corporation said the bullish momentum stemmed from Saudi businesspeople’s meetings with high government officials and local counterparts to explore investment opportunities in various sectors. This follow-up visit is in accordance with Saudi Arabia’s commitment to invest $25 billion over five years in Pakistan.

He added that investors also weighed the sharp deceleration in inflation, which mounted pressure on the State Bank of Pakistan to cut its policy rate and government deliberations over privatising ailing state-owned enterprises, further bolstering sentiments.

He also noted that speculations ahead of Pak-IMF new loan talks and increasing foreign exchange reserves contributed to the record close in the pre-budget rally at PSX.

“The market’s positive sentiment can be attributed to the arrival of a 50-member Saudi team for potential investments in Pakistan, along with expectations of an IMF mission visiting Pakistan this month to discuss a new programme,” said Topline Securities Ltd.

Companies like Dawood Hercules Ltd, Fauji Fertiliser, Engro Corporation, Interloop Ltd and Hub Power Company collectively added 360 points to the index. Conversely, Oil and Gas Development Company, Mari Petroleum, Systems Ltd, Ibrahim Fibres Ltd and National Bank of Pakistan deducted 68 points.

As a result, the index hit an intraday high of 73,060.74 and a low of 70,562.72. However, it closed at an all-time high at 72,764.24 points after adding 862.15 points, or 1.20pc, from the preceding session.

The overall trading volume rose 27.91pc to 578.38 million shares. The traded value, however, eased 0.09pc to Rs24.51bn on a day-on-day basis.

Stocks contributing significantly to the traded volume included Pak Elektron (48.44m shares), Fauji Cement (40.36m shares), K-Electric Ltd (26.77m shares), Worldcall Telecom Ltd (24.87m shares) and Hascol Petroleum (23.88m shares).

The shares registering the most significant increases in their share prices in absolute terms were Sapphire Textile Ltd (Rs84.42), Unilever Pakistan Foods Ltd (Rs67.52), Abbott Laboratories (Rs41.96), Pak Engineering Ltd (Rs33.26) and Sazgar Engineering Works Ltd (Rs33.26)

The companies registering the major decreases in their share prices in absolute terms were Hoechst Pakistan Ltd (Rs66.13), Sapphire Fibres Ltd (Rs30.25), Nestle Pakistan (Rs25.11), Ibrahim Fibres (Rs19.80) and Mari Petroleum (Rs17.60).

Foreign investors remained net buyers as they purchased shares worth $1.87m.

SOURCE: DAWN
 
Bearish run continues amid pre-budget jitters

Pakistan Stock Exchange (PSX) on Wednesday continued its bearish momentum owing to across-the-board pre-budget uncertainty and profit-booking at high valuations.

In the morning, the market opened with a spike, touching its intra-day high of 73,079.18 points, but the positive sentiment started weakening soon as market participants were concerned ahead of the budget announcement.

An unstable political situation in the country due to wheat and fertiliser supply challenges also dragged the KSE-100 index down.

Reports about the International Monetary Fund (IMF) seeking an additional Rs1.3 trillion in taxes under a new loan programme dampened buying interest at the bourse, which touched its intra-day low of 72,358.19 after midday.

Pharma stocks were in the limelight as a leading manufacturer of Paracetamol in Pakistan announced its partnership with a renowned Chinese firm for the manufacturing of Active Pharmaceutical Ingredients (APIs).

Profit-booking at the end of the session erased gains, dragging the market down and keeping it below the 73,000-point mark.

“Stocks closed lower amid political noise and pre-budget uncertainty,” said Ahsan Mehanti, MD of Arif Habib Corp.

“Government deliberations over structural reforms ahead of Pakistan-IMF negotiations for a new bailout package and reports of falling fertiliser and cement sales played the role of catalysts in bearish close at the PSX.”

At close, the benchmark KSE-100 index recorded a decline of 159.38 points, or 0.22%, and settled at 72,601.82.

Topline Securities, in its report, stated that Pakistan’s stock market wrapped up the trading day with a modest fall. “Throughout the session, the index displayed a mixed trend,” it said.

The decline in the index was mainly propelled by Dawood Hercules Corporation, Engro Fertilisers, MCB Bank, Lucky Cement and United Bank, which collectively erased 210 points.

Conversely, Service Industries, Fauji Fertiliser Company and K-Electric somewhat balanced this out by adding 97 points to the index, Topline added.

Arif Habib Limited (AHL), in its report, remarked that the PSX saw “further consolidation as prices dipped into the ‘liquidity void’ and remained contained below last week’s high”.

Pharma stocks remained well bid with GlaxoSmithKline Pakistan (+7.5%) and Citi Pharma (+7.5%) hitting their upper locks while cement and energy names continued to consolidate, it said.

“Holding above 72,300 will suggest that the low is in and the previous week’s high will be taken out to set up moves towards 74,000.”

Upside moves would likely be supported by renewed gains in cement and exploration and production (E&P) names, AHL added.

JS Global analyst Mohammed Waqar Iqbal said profit-taking continued across the board, though the market opened in the green zone and touched the intra-day high of 73,079 points.

“Going forward, we recommend investors to view any downside as an opportunity to buy stocks of fertiliser, cement and textile sectors,” the analyst added.

Overall trading volumes increased to 970.3 million shares against Tuesday’s tally of 621.8 million. The value of shares traded during the day was Rs23.5 billion.

Shares of 388 companies were traded. Of these, 149 stocks closed higher, 208 dropped and 31 remained unchanged.

WorldCall Telecom was the volume leader with trading in 407.9 million shares, gaining Rs0.23 to close at Rs1.51. It was followed by K-Electric with 68.03 million shares, gaining Rs0.28 to close at Rs4.68 and Hum Network with 56.1 million shares, gaining Rs1 to close at Rs9.03.

Foreign investors were net buyers of shares worth Rs124.2 million, according to the NCCPL.

SOURCE: EXPRESS TRIBUNE
 
Shares at PSX gain over 700 points on renewed rate cut hopes

Bulls maintained their position at the Pakistan Stock Exchange (PSX) on Friday as shares gained over 700 points in intraday trade.

The KSE-100 index gained 712.53 points, or 0.98 per cent, to stand at 73,370.58 points at 10:58am from the previous close of 72,658.05.

Yousuf M. Farooq, director of research at Chase Securities, said traders were expecting inflation to clock in at close to 15pc for May and for interest rates to decline over the next [financial] year, which caused some excitement in cyclicals today.

Raza Jafri, chief executive of EFG Hermes Pakistan, also said monetary easing expectations continue to build up, with real interest rates now about +5pc and the external account exhibiting comfort.

“Hitherto underperforming leveraged sectors such as cement are seeing buying interest, from both local and foreign investors,” he highlighted.

A day ago, the stock market had snapped a three-day losing streak as selective value-hunting helped the benchmark KSE 100-share index close the session in the green territory.

Ahsan Mehanti of Arif Habib Corporation attributed the PSX’s mild recovery to the World Bank’s reaffirmation of collaborating with Pakistan in structural reforms and sustainable development.

Among other factors he highlighted were the deliberations over privatising ailing state-owned enterprises, speculations ahead of new loan talks with the IMF, and the likely visit of the Saudi crown prince to seal investment deals under the Special Investment Facilitation Council.

SOURCE: DAWN
 
PSX settles at all-time high above 73,000-level

The robust growth in remittances and foreign exchange reserves, along with other stimulants, especially deceleration in short-term inflation, triggered bulls to stage a rally, sending the benchmark KSE 100 index to its highest-ever closing above 73,000.

Ahsan Mehanti of Arif Habib Corporation said the market rallied after the country reported a 27.99 per cent year-on-year increase in remittances from overseas Pakistanis to $2.81bn in April.

He said the cement sector outperformed the government’s target of a 27pc hike in the Public Sector Development Programme to Rs1.2 trillion for FY25. The rupee stability on surging State Bank of Pakistan’s foreign exchange reserves to $9.12bn for the week ending on May 3 after receipt of the final tranche of $1.1bn from the IMF under the SBA also contributed to a record close at PSX.

Topline Securities Ltd attributed this positivity to the Sensitive Price Index-based weekly inflation, which posted its fourth consecutive deceleration (down by 1.39pc week-on-week for the period ending May 9).

The cement and steel sectors remained in the limelight as they attracted buying interest, fuelled by the SPI numbers. This increased investors’ confidence in the decline in the State Bank of Pakistan’s policy rate going forward.

Lucky Cement, Dg Khan Cement, Pioneer Cement, Pakistan Oilfield Ltd, and Interloop Ltd made major positive contributions to the index, cumulatively contributing 218 points.

As a result, the benchmark index hit an intraday record high of 73,449.38 and a low of 72,876.84. However, the KSE 100 index closed at an all-time high of 73,085.50 points after rallying 427.45 points or 0.59pc on a day-on-day basis.

The overall trading volume rose slightly by 9.80pc to 741.19 million shares. The traded value also rose 5.05pc to Rs25.26bn on a day-on-day basis.

Stocks contributing significantly to the traded volume included WorldCall Telecom Ltd (85.72m shares), Hum Network (51.46m shares), Pak Elektron Ltd (33.64m shares), Fauji Cement Company (29.77m shares) and Hascol Petroleum (26.58m shares).

The shares registering the most significant increases in their share prices in absolute terms were Hoechst Pak Ltd (Rs94.71), Bhanero Textile (Rs74.75), Lucky Core Industries (Rs59.69), Highnoon Lab (Rs31.09) and Pak Services (Rs30.03).

Foreign investors remained net sellers as they offloaded shares worth $0.30m.

SOURCE: DAWN
 
Things improving in tandem
=====
Bullish momentum continued at the Pakistan Stock Exchange (PSX) on Monday as shares gained more than 700 points.

The benchmark KSE-100 index was up by 788.56 points, or 1.08 per cent, at 1:55pm, reaching 73,874.06 points from the previous close of 73,085.50 points. Finally, the index closed at 73,799.1, up by 713.61 points from the previous close.

During intraday trade, the benchmark index breached the 74,000 barrier, touching 74,114.22, before dropping back below within an hour.

Speaking to Dawn.com, Tahir Abbas, head of research at Arif Habib Limited, said the market was gaining momentum as inflation was “anticipated to decline significantly to 13pc in May”. He also noted there were “expectations of a monetary easing cycle in June”.

Abbas highlighted that investor confidence was “bolstered by positive sentiments” surrounding the International Monetary Fund (IMF) programme discussions and the “forthcoming economic roadmap”.

“Additionally, the market is currently trading at an appealing PE (price-to-earning) ratio of 4.1x, representing a 46pc discount compared to the mean PE of the past five years,” he said.

It should be noted that an IMF mission will meet Pakistani authorities this week to discuss the “next phase of engagement”, an official from the international money lender confirmed on Sunday.

Yousuf M Farooq, director of research at Chase Securities, also attributed the upward trajectory to market expectations of discussions with the IMF going smoothly, in addition to declining inflation numbers which “have led to an interest in cyclical”.

“Inflation is expected to drop to 14-15pc when numbers are published for May, making a case for a sharp decline in interest rates going forward,” he said, explaining that valuations go up when interest rates go down.

Mohammed Sohail, chief executive of Topline Securities, noted that Topline’s latest strategy note put the index target at 106,000 by June 2025.

“Now investors are also expecting that the market rally will continue after the IMF country report showed next year’s average CPI (consumer price index) near 13pc,” he said.

Source: Dawn News
 
PSX witnesses notable surge in KSE-100 index

The Pakistan Stock Exchange (PSX) experienced a notable surge in its benchmark KSE-100 index, reflecting positive market sentiment and investor confidence.

In recent trading sessions, the KSE-100 index showed significant gains across multiple reports. The index increased by 323 points, reaching a trading level of 75,253 points.

Earlier, it saw a rise of 111 points, trading at 75,060 points. Trading started on Friday with the index surging by 264 points, settling at 75,194 points.

On Thursday, the PSX witnessed a remarkable boom today as the KSE-100 index soared, crossing the coveted 75,000 mark again.

An impressive increase of 339 points propelled the index to trade at 75,003 points, signifying a significant uptick in investor confidence and market sentiment.

However, that boom did not last too long as the index witnessed a slump of 138 points and traded at 74,525 points.

This surge comes amidst a flurry of positive developments in the economic landscape, reflecting growing optimism among investors. The bullish trend underscores the resilience of the Pakistani stock market, despite ongoing challenges and uncertainties.

Trading on Thursday started with the KSE-100 index seeing a bullish trend, as it gained 303 points to trade at 74,967.

SOURCE: SAMAA
 
Stocks continue to touch new peaks

Pakistan Stock Exchange (PSX) on Friday continued its extensive buying spree as the KSE-100 index shot up to a new record peak above 75,000 points with investors taking cue from the current account surplus and a surge in central bank’s foreign currency reserves.

The government’s determination to seek an extension in debt payments to Chinese power producers also aided the market’s march towards north because the move may lead to a decrease in energy costs.

In another positive news report, Pakistani rupee bounced back against the US dollar following a jump in the State Bank’s foreign currency reserves to more than $9 billion.

In the morning, trading kicked off on a positive note and the market rose rapidly in the very first hour. Thereafter, the KSE-100 index fluctuated with ups and downs till midday.

It reached its intra-day high at 75,401.12 points with a spike in investor interest towards the close of trading.

“Stocks closed at an all-time high as investors weighed the current account surplus of $491 million for April 2024 and the surge in total forex reserves to $14.62 billion,” said Ahsan Mehanti, MD of Arif Habib Corp.

“Government’s resolve to seek an extension in $15.36 billion worth of debt payment to Chinese IPPs, foreign fund inflows and a deal between the government and fertiliser manufacturers on controlling urea prices played the role of catalysts in record close at the PSX.”

At the end of trading, the benchmark KSE-100 index recorded an increase of 411.65 points, or 0.55%, and settled at 75,342.35.

Arif Habib Limited (AHL), in its report, wrote that the KSE-100 closed above 75k with gains of 3.05% week-on-week.

Dawood Hercules Corporation (+4.76%), Hub Power (+1.02%) and Thal Limited (+7.5%) were the biggest contributors to the index gains on Friday. On the other hand, Service Industries (-2.93%), Lucky Cement (-0.59%) and MCB Bank (-0.36%) were the largest drags.

In a key development, Pakistan posted a current account surplus of $491 million for April 2024. In addition, the government may seek a five-year extension in the repayment of $15.4 billion worth of debt to Chinese independent power producers (IPPs). It was part of Prime Minister Shehbaz Sharif’s push to reduce energy costs, which included cutting the tariff paid to power producers. Pakistan was also planning to sell bonds, due on September 19, 2039, with an 11% coupon rate on May 23, 2024.

JS Global analyst Mohammed Waqar Iqbal, in his review, wrote that the stock market opened on a positive note, but some investors preferred to book profit and trim positions ahead of the rollover week.

The KSE-100 index eventually closed 411 points higher at 75,342. “Going forward, the market is anticipated to maintain its upward momentum,” the analyst predicted.

Overall trading volumes increased to 496.7 million shares against Thursday’s tally of 407.6 million. The value of shares traded during the day was Rs17.6 billion.

Shares of 386 companies were traded. Of these, 212 stocks closed higher, 153 dropped and 21 remained unchanged.

Kohinoor Spinning Mills was the volume leader with trading in 44.6 million shares, gaining Rs0.19 to close at Rs4.85. It was followed by Pakistan International Airlines Corp with 28.8 million shares, losing Rs1.89 to close at Rs24.31 and K-Electric with 23.1 million shares, losing Rs0.04 to close at Rs4.57.

Foreign investors were net buyers of shares worth Rs127.02 million, according to the NCCPL.

EXPRESS TRIBUNE
 
Another bullish week on PSX

The Pakistan Stock Exchange (PSX) crossed another milestone of 75,000 as jubilant investors continued value-hunting in the outgoing week amid an improved economic outlook.

Arif Habib Ltd (AHL) said the market performed robustly in all five sessions of the week, closing at an all-time high of 75,342 points. The bullish market sentiment was fuelled by optimism surrounding the potential negotiation of a new IMF package.

On the economic front, Large-Scale Manufacturing (LSM) output increased by two per cent year-on-year and contracted 9.35pc on month-on-month for March.

Furthermore, the country posted a current account surplus of $491m in April. Also, yields in the secondary market witnessed a decline across all the tenors, with a prominent decline of 62bps in 12-month T-bills, in anticipation of a likelihood of a rate cut in the June monetary policy committee meeting.

The rupee depreciated by Rs0.09 or 0.03pc to Rs278.21 against the US dollar week-on-week. In addition to this, the SBP reserves rose $15m to $9.1bn in the week ending on May 10.

As a result, the benchmark KSE-100 index gained 2,257 points or 3.09pc to close at 75,342.35 points week-on-week.

Sector-wise positive contributions came from commercial banks (1,076 points), E&Ps (396 points), fertiliser (196 points), automobile parts & accessories (102 points), and engineering (72 points).

Foreigner buying continued during the week, clocking in at $14.94m compared to a net buy of $2.73m last week. Major buying was witnessed in banks ($6.54m) and E&P ($4.52m).

The average trading volume plunged 23pc to 555m shares while the average value traded fell 10pc to $79m week-on-week.

The market’s focus in the upcoming week would be on developments related to the upcoming federal budget 2024-25, new IMF programme and potential investments from friendly countries.

SOURCE: DAWN
 
Stocks lose 466 points on budget uncertainty

Pakistani shares experienced selling pressure on Monday as uncertainty surrounding the upcoming budgetary measures caused the benchmark KSE 100 index to turn red despite an initially positive start amid low volume.

Ahsan Mehanti of Arif Habib Corporation said the market turned bearish on reports that the huge Rs12.5 trillion proposed tax collection target for FY25 would impact industrial earnings.

He added that market sentiments were also negatively affected by over-leveraging and uncertainty regarding the outcome of negotiations to repay dues to Chinese IPPs.

Topline Securities Ltd said investors opted to trim their positions, causing the market to settle below 76,000 levels after an intraday high at 76,188, a gain of 204 points during the day. A relatively lacklustre momentum was witnessed during the session, fuelled by budgetary concerns and mixed IMF vibes.

Consequently, the fertiliser, banks, and E&P sectors contributed negatively, with Fauji Fertiliser, MCB Bank, Pakistan Petroleum Ltd, OGDC and Bank Alfalah losing 251 points. On the contrary, Faysal Bank, HBL, and Systems Ltd cumulatively added 93 points. As a result, the KSE 100 index settled at 75,517.49 points after tumbling by 465.55 points or 0.61pc on a day-on-day basis.

However, the overall trading volume fell 26.85pc to 446.07 million shares and the traded value plunged by 30.42pc to Rs16.40bn day-on-day.

Stocks contributing significantly to the traded volume included K-Electric Ltd (55.59m shares), Symmetry Group Ltd (40.66m shares), WorldCall Telecom (29.46m shares), Dewan Cement (18.97m shares) and Hum Network (18.61m shares).

The shares registering the most significant increases in their share prices in absolute terms were Exide Pakistan Ltd (Rs37.66), Pakistan Services Ltd (Rs24.59), Services Industries Ltd (Rs24.14), Honda Atlas Cars (Pakistan) Ltd (Rs17.19) and Atlas Battery Ltd (Rs15.53).

The companies registering the major decreases in their share prices in absolute terms were Shahmurad Sugar Mills Ltd (Rs45.43), Murree Brewery Company Ltd (Rs13.21), Ferozsons Laboratories Ltd (Rs13.15), Lucky Core Industries (Rs12.63) and JDW Sugar Mills Ltd (Rs10.00).

Foreign investors turned net buyers as they bought shares worth $2.17m.

SOURCE: DAWN NEWS
 
Bears took over at the Pakistan Stock Exchange (PSX) as shares plunged more than 900 points on Tuesday, which analysts attributed to the delay in budget

The benchmark KSE-100 index plunged 834.24 points, or 1.1 per cent, to stand at 74,741.01 at 3:09pm from the previous close of 75,575.25 points. Finally, the index closed at 74,666.65, down by 908.60 points or 1.2pc, from the previous close.

Raza Jafri, chief executive of EFG Hermes Pakistan, said, “Buyers seem to be shying away as they await the federal budget, as this could impact monetary policy setting.

“The market has thus come off on relatively thin volumes,” he noted.

Mohammed Sohail, chief executive of Topline Securities, credited the bearish momentum to the delay in budget and selling pressure by players.

Awais Ashraf, director research at Akseer Research, attributed the downward trajectory to “increased external financing needs over the next two months are prompting worries about the potential for monetary easing by the State Bank of Pakistan (SBP) and the stability of the exchange rate, which is already under scrutiny due to uncertainties surrounding the budget and the country’s entry into a new IMF programme.”

He also noted that “selling pressure was widespread, particularly impacting banks, fertilizer, exploration and production, and technology firms”.

Shahab Farooq, director research at Next Capital Limited, said, “Increased political uncertainties are taking toll on the equities market despite significantly lower than expected inflation reading for May 2024.”

Source: Dawn News
 
A day after biggest single-day gains, PSX crosses 77,000 to hit all-time high

The Pakistan Stock Exchange (PSX) on Friday gained more than 1,000 points to hit an all-time high of 77,000, just a day after the trading floor witnessed the biggest single-day gains.

The KSE-100 index gained 1,097.12 points, or 1.44 per cent, to stand at 77,305.28 at 11:04am from the previous close of 76,208.16, the PSX data portal showed.

On Thursday, the benchmark index gained more than 3,400 points in intraday trade, which came a day after the government unveiled the federal budget for the next fiscal year.

The budget cheered investors by avoiding an anticipated increase in capital gains tax, despite an ambitious tax revenue target.

Mohammed Sohail, chief executive of Topline Securities, had attributed the upward trajectory to “no increase in tax on dividend and capital gain [tax] (CGT) for investors in the new budget”.

Raza Jafri, chief executive of EFG Hermes Pakistan, had also highlighted “soft changes to CGT for tax filers, in sharp contrast to the fears in the run-up to the budget”.

SOURCE: DAWN
 
PSX hits new peak

Spectacular post-budget rallies helped the benchmark index scale a new peak above the 76,000 level in the outgoing week, ending the seven-session downturn amid fears of high taxes on equity investments.

Arif Habib Ltd (AHL) said that despite a 150-basis-point cut in the SBP policy rate to 20.5 per cent announced on the first day of the week, the market remained jittery due to concerns over a significant increase in taxes on capital gains and dividends.

As the week progressed, market sentiment turned positive when it was revealed that the budgetary proposals for 2024-25 included a lower-than-expected increase in the capital gains tax (CGT) while maintaining the dividend tax.

This change spurred bullish activity, leading to a record day-on-day increase of 3,411 points in the index on Thursday. Consequently, the market reached an all-time intra-day high of 77,310 points on Friday.

Additionally, the government raised Rs1,208bn in T-bill auction against a target of Rs780bn. However, the cut-off yield on three-month tenor was cut by 85bps, 103bps for six-month and 115bps for 12-month papers.

The State Bank of Pakistan’s foreign exchange reserves declined meagrely by $6.2m or 0.07 pc to $9.1bn in the week ending on June 7.

As a result, the KSE-100 index settled at 76,706.77 points after surging by 2,953 points or 4pc week-on-week.

Foreign selling was witnessed during the week, clocking in at $5.8m compared to a net buy of $4.4m last week. Significant selling was seen in exploration and production ($2.7m) and ‘all other sectors’ ($1.8m). On the local front, buying was reported by mutual funds ($11.1m), followed by companies ($7.9m).

The average trading volume fell 3.3pc to 410m shares, while the average value traded settled down 1.7pc to $61m week-on-week.

With Eidul Azha falling on June 17, the market will be open for only two days next week, resulting in lower activity.

According to AHL, despite the shortened trading period, investors will be closely monitoring developments related to the new IMF programme.

SOURCE: DAWN
 
PSX hits historic high, surpasses 78,000 milestone

The Pakistan Stock Exchange (PSX) surged to an all-time high on Thursday as the KSE-100 Index gained over 1.93 percent, reaching 78,213 points at 11:30 am. This rise marked a significant increase from the previous 76,706.77 points last week.

The market opened on a positive note following the Eid ul Adha holidays, with the KSE-100 Index crossing the 77,000 mark, up by 730 points by 09:44 am.

Key sectors such as automobile assemblers, commercial banks, fertilizers, oil and gas exploration companies, oil marketing companies (OMCs), and refineries saw strong buying activity. Major stocks like ODGC, POL, SHEL, SNGPL, MEBL, and HBL traded positively.

Fitch Ratings described Pakistan’s budget for the fiscal year 2024-25 as “ambitious,” noting that it could improve the chances of securing a deal with the International Monetary Fund (IMF).

Last week, the PSX saw a bullish trend, driven by investor confidence after no increase in the tax rate on dividends and capital gains for filers. This led to the KSE-100 index rising by 2,952.75 points over the week, closing at a record high of 76,706.77 points.

EXPRESS TRIBUNE
 
PSX shoots past 80,000 level amid IMF deal hopes

The Pakistan Stock Exchange (PSX) witnessed a surge on Friday, crossing the 80,000 threshold for the first time during intraday trading.

The benchmark KSE-100 index reached an all-time high of 80,001 points, up from the previous close of 78,801 points, gaining 1,200 points by 09:50 AM.

Analysts attribute this remarkable rise to the government's commitment to securing a deal with the International Monetary Fund (IMF) following the budget announcement. The fiscal budget for the upcoming year is anticipated to set ambitious targets for a new IMF bailout.

Yesterday, the KSE-100 index gained over 2.66 percent, reaching 78,801 points an increase of 2,094.76 points from the previous trading day.

Out of 447 companies that traded shares, 256 recorded gains, 133 sustained losses, and 58 remained unchanged.

The bullish trend persisted on Friday as investors responded positively to the budget proposals for the fiscal year 2024-25 and ongoing IMF negotiations.

Experts suggest that if this upward momentum continues, the PSX could surpass the 100,000-point mark within the next 12 months.

EXPRESS TRIBUNE
 
Bulls continued their stampede at the Pakistan Stock Exchange (PSX) on Friday as shares gained more than 1,200 points to briefly cross the 80,000 level — a day after it closed at a now-broken all-time high

The benchmark KSE-100 index gained 1238.54 points, or 1.57 per cent, to stand at 80,059.87 — a record high — from the previous close of 78,801.53 points at 9:47am.

It, however, then receded to 78,847.57 at 11:36am — a gain of mere 46.04 points, or 0.06pc, from the previous close.

Tahir Abbas, head of research at Arif Habib Limited, said, “The market continues its positive momentum as investors are optimistic about the new IMF programme, downward inflation, interest rates trajectory and flows converting from fixed income to equities.”

Mohammed Sohail, chief executive of Topline Securities, noted that the index had reached “another record high”, climbing by 99pc in a year.

He attributed today’s climb to “positive sentiments led by tax laden budget” which investors feel will help in getting the long-term International Monetary Fund (IMF) loan.

“Investors are optimistic about the macroeconomic stability that will create a favorable environment for monetary easing,” Awais Ashraf, director research at AKD Securities, said, adding that this “subsequently reduces the required rate of return for investors in the equity market”.

“Moreover, the scarcity of other profitable investment opportunities, particularly in real estate and commodities, is also driving the recent KSE-100 rally,” he added.

Source : Dawn News
 
PSX breaches 78,000 barrier again over renewed optimism on budget, IMF deal

The Pakistan Stock Exchange (PSX) on Wednesday gained 335 points to close at 78,275 points, with analysts attributing the gain to expectations that the proposed budget would eventually be passed, which would then pave way for striking a deal with the International Monetary Fund (IMF).

Last week, the PSX crossed 80,000 points during intraday trade before closing at a sustained record high.

The index today gained 335.06 points or 0.43 per cent while reaching a high of 78,679.49 points in the day before closing at 78,275.64.

Chief executive of EFG Hermes Pakistan Raza Jafri told Dawn.com that it looked as if the budget presented by the foreign minister on June 12 would pass without “any hiccups” which should help Pakistan in securing another IMF program.

“The market is reacting positively to this,” he said, adding that with monetary easing also underway, investors were focusing on high dividend yield stocks that would continue to look attractive against fixed income as interest rate cuts picked pace.

Syed Faran Rizvi, head of equity sales at JS Global Capital, said: “The PSX responded positively to the budget, with the market reaching the 80,000 index mark last week.”

“However, investors expressed concerns about new tax impositions, particularly in the textile sector and among milk producers,” Rizvi said.

“Despite this, we maintain our belief that market multiples remain attractively priced, and we have our sights set on PSX reaching 100,000 by December 2024,” he added.

“The declining interest rate cycle and positive macroeconomic indicators should further boost investor confidence in this asset class,” Rizvi said.

AKY Securities Chief Executive Officer Amin Yousuf said that market showed positive numbers during the day, adding that it seemed buying was available in the market.

“It seems as if the growth would maintain, there is no negative news in the market,” Yousuf said.

Source: Dawn News
 
Shares at the Pakistan Stock Exchange (PSX) climbed more than 300 points in on Monday on expectations of expectations of a new deal with the International Monetary Fund (IMF)

The benchmark KSE-100 index climbed 704.08 points, 0.9 per cent, to stand at 79,149.04 at 11:15am from the previous close of 78,444.96 points. Finally, the index closed at 78,824.33, up by 379.37 or 0.48pc, from the previous close.

Mohammed Sohail, chief executive of Topline Securities, said that investors were “building new positions amid expectations of lower CPI (Consumer Price Index) reading”.

Moreover, he said that it was also expected that the International Monetary Fund (IMF) staff-level agreement (SLA) “will be reached soon after passing of tax-laden budget”.

Amreen Soorani, head of research at JS Global, said, “Bullish sentiment prevails at PSX as the Finance Bill’s approval fuels optimism for an IMF deal.”

“Pakistan’s attractive valuations, trading at just 4x multiples despite a near 90pc gain over the past year, further entice investors compared to global peers,” she added.

Raza Jafri, chief executive of EFG Hermes Pakistan, highlighted that the passage of the FY25 budget was a “big step towards securing an IMF programme” and was being treated positively by investors.

“The inflation print is also due, and rate cuts are expected to continue in the next monetary policy. These factors continue to pull local flows into equities,” he added.

Yousuf M. Farooq, director of research at Chase Securities, attributed the upward trajectory to the “passing of the budget, [which] should lead to Pakistan getting into its next IMF programme”.

“A new IMF programme would lead to stability on the external front and a check on Pakistan’s fiscal account,” he elaborated.

Furthermore, he said that “lower inflation going forward should also lead to a gradual decline in interest rates and a gradual upward re-rating of the market”.

Awais Ashraf, director research of AKD Securities, echoed the same sentiments.

He said, “Approval of the budget in line with the IMF requirements has helped build investor confidence, as the odds of getting a new bailout package have improved.”

Source : Dawn News
 
Record-setting spree continues at PSX as shares cross 80,000 in intraday trade

Shares at Pakistan Stock Exchange (PSX) crossed another milestone of 80,000 points on Wednesday as stocks climbed 600 points in intraday trade.

The benchmark KSE-100 index climbed 627.99 points, or 0.79 per cent, to stand at 80,180.87 points from the previous close of 79,552.88.

On Tuesday, the index had crossed the 79,000 milestone for the first time in its history. Analysts attributed the bullish trajectory to surging global crude oil prices, expectations for strong dividend payouts by the oil sector dominated by state-owned enterprises, and ongoing positive talks for an International Monetary Fund (IMF) bailout deal this month.

Awais Ashraf, director research at AKD securities, attributed today’s upward momentum to “expected entry into the larger IMF programme and expected monetary easing boosting investor confidence in equities”. He also pointed out that the KSE-100 was trading at a cheaper forward price-to-earning (P/E) ratio of 3.6x.

“Contractionary fiscal policy and a cautious central bank stance, along with the foreign inflows both in debt and equities, has alleviated concerns over currency stability,” he added.

“The KSE-100 Index made a new all-time high today, crossing 80,300 mark,” Shahab Farooq, director research at Next Capital Limited, said.

He noted, “After passage of the finance act that has paved the way for finalisation of the new program with the IMF, the market has responded positively with improved sentiments.”

Moreover, Farooq highlighted that “attractive” valuations with forward price-to-earning ratio hovering less than 4x, stable currency and expectations of continuation of monetary easing were coming into play in the oil & gas and banking sector.

DAWN
 
Stocks rise on IMF deal, strong payouts

The stock market maintained an upward journey, setting a new record closing on Monday despite a brief suspension of trading due to a fire that erupted in the PSX building in the early hours of the session.

Ahsan Mehanti of Arif Habib Corporation attributed the market’s rally to the expectation of a robust earning season as investors eye the IMF Staff-Level Agreement after the government measures for tax reforms in the federal budget FY25.

He said speculations about strong corporate payouts, an easing SBP monetary policy, and World Bank approval for support to the private sector in privatising ailing state-owned enterprises contributed to the bullish close at the PSX.

Topline Securities Ltd said trading was halted for two hours due to a fire on the 4th floor of the bourse building, which was evacuated, and trading resumed once the blaze was controlled.

The cement and banking sectors continued their positive momentum from last week, with Maple Leaf Cement Factory Ltd, Fauji Cement Company Ltd, Lucky Cement Ltd, D.G. Khan Cement Company Ltd, National Bank, Allied Bank, and Habib Bank collectively contributing 267 points to the positive index.

As a result, the benchmark index hit an intraday high of 80,737.71 points and a low of 80,192.31. However, the index settled at 80,566.21 after adding 353.41 points or 0.77pc on a day-on-day basis.

However, the overall trading volume shrank 41.72pc to 261.64 million shares. The traded value also dipped 31.43pc to Rs13.02bn on a day-on-day basis.

Foreign investors turned net sellers as they offloaded shares worth $0.27m.

PSX chief to join Jazz

Farrukh H. Khan, the outgoing chief executive officer and managing director of the Pakistan Stock Exchange (PSX), has joined the telecom sector.

Jazz announced on Monday that Mr Farrukh has been appointed as the new Chief Financial Officer of Jazz and CEO of Micro-Finance Holdings. He will assume the charge on Sept 15 as his two-month notice period to PSX ends in early September.

Rumours were circulating in the capital market that Mr Khan was leaving the PSX due to differences with the board. He had submitted his resignation last week and it was accepted immediately by the PSX board. He was serving as CEO & MD of PSX since 2020.

DAWN
 
Stocks begin flirting with 81,000 level

The stock market continued its record-setting spree on Tuesday amid growing optimism about reaching a Staff-Level Agreement with the International Monetary Fund (IMF) soon, propelling the index to a new peak above 81,000 intraday.

Ahsan Mehanti of Arif Habib Corporation said stocks closed at an all-time high amid speculation in the earnings season at PSX. This was led by selected oil and banking scrips, with expectations of high dividend payouts.

He said investor expectations for a resolution to the $15 billion China energy debt restructuring ahead of the IMF’s new bailout deal and government deliberations over privatising ailing state-owned enterprises contributed to the bullish close.

Topline Securities Ltd said the equity market exhibited a mixed pattern. The index surged to an intraday peak of 81,087 points before settling at 80,672 points, reflecting a modest gain of 106 points or 0.13pc.

The fertiliser, exploration and production (E&P), and textile sectors led the market’s positive momentum, bolstered by companies like FFC, POL, ILP, Engro FertFERT, and FFBL, collectively contributing 183 points.

The overall trading volume more than doubled to 610.26 million shares. The traded value also surged 86.69pc to Rs24.64bn on a day-on-day basis.

Stocks contributing significantly to the traded volume included K-Electric (51.02m shares), The Bank of Punjab (43.33m shares), WorldCall Telecom (40.77m shares), Hum Network (40.05m shares) and Maple Leaf Cement (25.55m).

The shares registering the most significant increases in their share prices in absolute terms were Sazgar Engineering Works Ltd (Rs94.89), Unilever Foods (Rs89.99), Ismail Industries (Rs71.11), Exide Pakistan (Rs61.25) and PIA Holding (B) (Rs57.72).

The companies registering significant decreases in their share prices in absolute terms were Rafhan Maize (Rs73.00), Nestle Pakistan (Rs55.19),

Mari Petroleum (Rs28.99), Pakistan Services (Rs22.79) and Indus Motor (Rs17.37).

Foreign investors turned net buyers as they purchased shares worth $0.24m.

DAWN
 
The Pakistan Stock Exchange (PSX) started the week on a positive note as it crossed the 81,000 mark buoyed by the newly signed International Monetary Fund (IMF) deal

The KSE-100 index climbed 1276.91, or 1.6 per cent, to stand at 81,221.00 points from the previous close of 79,944.09. around 11am. Finally, the index closed at 81,155.60, 1211.51 up by points or 1.52pc, from the previous close.

Raza Jafri, chief executive of EFG Hermes Pakistan, said, “The market is reacting positively to the staff-level agreement with the IMF, as this is supportive for continued macroeconomic stability and reforms.”

He added that “investors may also have an eye on the next monetary policy, with further interest rate cuts expected across 2H 2024”.

Awais Ashraf, director of research at AKD Securities, echoed the same sentiments. He said the staff-level agreement with the IMF “has helped enhance investor interest”.

“Sectors beneficiary of structural reforms and monetary easing are likely to gain the most in coming days,” he highlighted.

Yousuf M Farooq, director research at Chase Securities, also attributed the bullish momentum to the “completion of the IMF deal”.

He pointed out, “Going forward, economic stability, lower inflation and interest rates should lead to upward re-rating in the market”.

Source: Dawn News
 
Historic leap as PSX surges to all-time high of 81,518 points

The Pakistan Stock Exchange (PSX) surged to new heights, gaining 362 points to reach an all-time high of 81,518 points. This remarkable 0.44% increase from the previous close of 81,156 points showcases a bullish momentum in the market.

A week earlier, the PSX shattered all previous records to reach the historic 81,000-point mark, an unprecedented milestone driven by robust buying from local and foreign investors.

On Tuesday, KSE-100 maintained a bullish trend and gained 1,367 points to hover at 81,320.88 points with 1.72% positive change as compared to the previous closing of 79,944.09 points.

Experts have attributed the bullish trend to various factors including the privatization and staff-level agreement with the International Monetary Fund (IMF).

Ahsan Mehanti from Arif Habib Corp emphasized the role of accommodating State Bank of Pakistan (SBP) policy rates in stimulating market activity. Meanwhile, Khurram Shehzad, CEO of Alpha Beta Core, highlighted investor confidence in anticipated economic reforms and stability, anticipating further market growth.

This surge comes amidst ongoing market resilience despite temporary interruptions, such as the recent fire incident at the PSX building, which briefly suspended trading activities but did not dampen overall investor sentiment.

EXPRESS TRIBUNE
 
The current government in Pakistan is pro business and pro people. I am sure that in the coming times, the economic will do great. The narcissist, Imran Khan always ensured that Pakistani economy remained in the dark ages. Not anymore. The people of Pakistan have rightfully reclaimed their nation back from establishment backed puppet regime.
 
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Stocks hit another high on positive outlook

The stock market resumed its record-setting spree after a two-day break on Thursday as investors continued value-hunting for improved external funding prospects following the signing of an agreement with the International Monetary Fund (IMF). This helped the benchmark index close at an all-time high.

Ahsan Mehanti of Arif Habib Corporation said stocks closed at an all-time high as investors weighed Fitch ratings’ projections for a cut in the State Bank of Pakistan’s policy rate to 16pc by the end of 2024 and 14pc by 2025 on slowing inflation, economic expansion of 3.2pc on the back of high agri growth, easing monetary policy, slowing inflation and cut in fiscal deficit to 6.7pc in FY25.

He added that the agreement for a $7 bn loan to push for IMF-mandated fiscal reforms played a catalyst role in the bullish close.

Topline Securities Ltd said the Pakistan stock market showed strong momentum, achieving a new peak. The market’s positive movement was driven by sectors such as fertiliser, exploration and production, banking, and auto, supported by companies like Engro Corporation, United Bank, Oil and Gas Development Company, Millat Tractor Ltd, and Meezan Bank, collectively contributing 423 points.

As a result, the benchmark index hit an intraday record high of 81,909.95 points and a low of 81,418.12. However, the index settled at 81,839.86 after adding 684.25 points or 0.84 per cent on a day-on-day basis.

The overall trading volume edged up 6.56pc to 470.31 million shares. However, the traded value fell 6.89pc to Rs25.34bn on a day-on-day basis.

Stocks contributing significantly to the traded volume included Pak Elektron (47.99m shares), PIA Holding Co (25.36m shares), PTCL (25.02m shares), Fauji Fertiliser (23.54m shares) and WorldCall Telecom (17.26m shares.

The shares registering the most significant increases in their share prices in absolute terms were Rafhan Maize (Rs130.00), PIA Holding Ltd (B) (Rs80.87), Ismail Industries (Rs60.79), Unilever Foods (Rs58.73) and Reliance Cotton (Rs35.81)

The companies registering significant decreases in their share prices in absolute terms were Pak Tobacco (Rs69.75), Data Agro (Rs34.90), Atlas Honda (Rs15.31), Philip Morris (Rs8.62) and JS Global Capital (Rs7.61).

DAWN
 
Kianig89 said:
tribune.com.pk

PSX forecasts record surge of 106,000 points by June 2025 | The Express Tribune

Anticipated growth driven by IMF prospects, reforms
tribune.com.pk tribune.com.pk

Country in doldrums, economy in turmoil but PSX picking up , what is it speculation arbitrage or some financial bias at work.

Any finance guys on PP

Investment & Portfolio Executive, Fund Manageras or CFA
Click to expand...
As the article states, PSX is oversold due to too much uncertainty in the last 2 years. Even with some semblance of normalcy of the past, Stock market will jump sharply to historical P/E ratio of around 7 for PSX.
Again, its just a projection. May not hold true. There will be technical spikes because of the above analysis, but that will not have anything to do with fundamental reality on ground.
 
Stocks add 410 points on economic outlook

The stock market extended its overnight recovery drive on positive economic news, propelling the benchmark KSE 100 index above 79,000 on Wednesday.

Ahsan Mehanti of Arif Habib Corporation said the market drew its strength from the prime minister’s resolve to boost exports to $60 billion in the next three years, hinting at low-cost power.

The finance minister also expected a rating upgrade from Moody’s on government initiatives to reform and improve economic indicators. An expected policy rate cut on July 29 fuelled optimism about the economic outlook, he added.

Topline Securities Ltd said the stock market exhibited positive momentum. Throughout the day, stocks such as Fauji Fertiliser, Meezan Bank, TRG Pakistan, Faysal Bank and Engro Fertiliser added 300 points to the index. Conversely, United Bank, Hub Power, and Dawood Hercules wiped out 110 points.

As a result, the benchmark index hit an intraday high of 79,704.37 points and a low of 79,071.48. However, the index settled at 79,397.01 after adding 409.92 points or 0.52 per cent on a day-on-day basis.

The overall trading volume rose 22.36pc to 386.98 million shares. The traded value, however, fell 12.73pc to Rs14.89bn on a day-on-day basis.

Stocks contributing significantly to the traded volume included Silk Bank (36.86m shares), Hascol Petroleum (25.77m shares), PIA Holding Company (17.16m shares), Al Shaheer Corp (14.69m shares) and Dewan Farooque (14.56m shares).

The shares registering the most significant increases in their share prices in absolute terms were Nestle Pakistan (Rs70.00), Hoechst Pakistan (Rs48.65), Unilever Foods (Rs44.50), Ismail Industries (Rs33.64) and Khyber Textile (Rs30.91).

The companies registering significant decreases in their share prices in absolute terms were Rafhan Maize (Rs95.87), Bata Pakistan (Rs50.28), PIA Holding Co (Rs41.99) Exide Pakistan (Rs41.18) and Shahmurad Sugar (Rs31.98).

Foreign investors turned net sellers as they offloaded shares worth $0.18m.

DAWN
 
Uncertainty chops off 2,100 points in a week

The stock market remained volatile as mounting political uncertainty unnerved investors indulged in panic-selling, dragging the benchmark index below 79,000 in the outgoing week.

Arif Habib Ltd (AHL) said the market remained negative despite the recent $7 billion Staff-Level Agreement between the International Monetary Fund and Pakistan, the commencement of result season and the anticipation of a rate cut in the upcoming monetary policy.

This bearish trend was mainly driven by political noise. On the economic front, foreign direct investment fell 37 per cent month-on-month to $169 million in June. The State Bank of Pakistan’s foreign exchange reserves witnessed a massive outflow of $397m to $9bn in the week ending July 19.

In addition, power generation dropped to its lowest level in four years to 127,167 GWh in FY24. On the exchange rate front, the rupee depreciated by 0.21 paise or 0.1pc to Rs278.34 against the US dollar.

As a result, the benchmark KSE 100 index settled at 78,030 points after losing 2,089 points or 3pc week-on-week.

During the outgoing week, the government announced plans to withdraw from the fuel pricing process, giving OMCs a free hand. Other significant developments include banks being allowed to charge off fully provisioned non-performing loans, and the Special Investment Facilitation Council endorsed refineries’ concerns that the budgetary measures could spoil a $6bn plant upgrade programme.

Sector-wise negative contributions came from power generation & distribution (153 points), cement (111 points), commercial banks (107 points), oil & gas Exploration companies (96 points) and fertiliser (83 points).

However, the sectors that mainly contributed positively were technology and communication (31 points), chemical (27 points), automobile assembler (19 points), real estate investment trust (5 points) and textile spinning (2 points).

Scrip-wise negative contributors were Hub Power (120 points), Dawood Hercules (84 points), United Bank (56 points), Engro Corporation (49 points) and Pakistan State Oil (45 points). Meanwhile, scrip-wise positive contributions came from Meezan Bank (49 points), TRG Pakistan (42 points), Engro Fertiliser (35 points), Lucky Core Industries (30 points) and Fauji Fertiliser Bin Qasim (18 points).

Foreigner buying continued during the week, clocking in at $4.6m compared to a net buy of $9.3m last week. Major buying was witnessed in oil and gas marketing companies ($1.4m) and commercial banks ($1.2m). On the local front, selling was reported by mutual funds ($5m) followed by individuals ($1.7m).

The average volume plunged 27.3pc to 337m shares, while the average value traded settled tumbled 41.7pc to $56m week-on-week.

The market is expected to remain positive going forward due to anticipation of a potential rate cut in the Monetary Policy Committee meeting scheduled for Monday. The continuation of the results season next week will further maintain the positive momentum.

According to AKD Securities Ltd, the IMF executive board’s expected approval next month will likely support bullish momentum.

DAWN
 
Stocks continue downward journey

Pakistani shares extended losses to the third straight day on Thursday amid falling trading volume, thanks to mounting political noise and uncertainty about the economic outlook.

Ahsan Mehanti of Arif Habib Corporation said stocks closed under pressure on institutional profit-taking in blue-chis banking and oil scrips.

He said falling banking spreads amid easing monetary policy, surging unresolved power sector circular debt, and uncertainty over the rollover of $15 billion dues of Chinese independent power producers contributed to the bearish close.

Topline Securities Ltd, in its report, said the market’s downtrend was driven by declines in sectors such as exploration and production and banking, with significant contributions from companies including United Bank Ltd, Bank Alfalah, Mari Petroleum, Pakistan Petroleum Ltd and Bank Al-Habib, which together accounted for a 229-point drop.

As a result, the benchmark index hit an intraday high of 78,241.02 points and a low of 77,595.93. However, the index continued its downturn and settled at 77,740.31 after losing another 146.68 points or 0.19pc on a day-on-day basis.

The overall trading volume fell 27.08pc to 278.98 million shares. The traded value also dipped 10.54pc to Rs13.09bn on a day-on-day basis.

Stocks contributing significantly to the traded volume included Hascol Petroleum (26.70m shares), WorldCall Telecom (21.81m shares), Waves Home Appliances (13.52m shares), Fauji Cement (11.54m shares) and The Organic Meat (10.50m shares).

The shares registering the most significant increases in their share prices in absolute terms were Sapphire Fibres (Rs98.14), The Premier Sugar (Rs46.00), Sazgar Engineering Works (Rs39.47), Leiner Pak Gelatine (Rs25.53) and Ghandhara Automobiles Ltd (Rs20.07).

The companies registering significant decreases in their share prices in absolute terms were Nestle Pakistan (Rs65.50), Mehmood Textile (Rs60.95), Rafhan Maize (Rs60.00), Ismail Industries (Rs41.30) and Mari Petroleum (Rs32.86).

Foreign investors turned net buyers as they purchased shares worth $0.17m.

DAWN
 
PSX makes meagre recovery after meltdown

Pakistani shares on Tuesday staged a partial recovery of staggering overnight losses as global equities bounced back a day after world markets rattled on fears of a US recession.

Ahsan Mehanti of Arif Habib Corporation said stocks closed higher, led by second and third scrips, amid a recovery in global equities and strong corporate earnings.

He added that the discovery by the Pakistan Oilfield at the TAL block and a surge in international crude oil prices also helped the index stay in the green.

Topline Securities Ltd said equities experienced recovery, mirroring the trends of international markets. Hub Power gained on the news that the Chinese automotive giant BYD is set to make its official entry into the Pakistani market with a grand brand launch scheduled for August 17.

Companies such as Systems Ltd, Hub Power, Pakistan Services Ltd, Habib Metropolitan Bank Ltd, and Habib Bank contributed positively, adding 242 points to the index. Conversely, Bank Al-Habib, Lucky Cement, and PSO had a negative impact, subtracting 159 points.

As a result, the benchmark index hit an intraday high of 77,746.49 points and a low of 77,035.96. However, the index settled at 77,191.34 after adding 106.85 points or .14pc on a day-on-day basis.

The overall trading volume rose 17.89pc to 600.89 million shares. The traded value, however, fell 18.66pc to Rs17.12bn on a day-on-day basis.

Stocks contributing significantly to the traded volume included Kohinoor Spinning (147.51m shares), Yousaf Weaving (53.67m shares), Hascol Petroleum (41.38m shares), WorldCall Telecom (25.01m shares) and Telecard Ltd (24.53m shares).

The shares registering the most significant increases in their share prices in absolute terms were Nestle Pakistan (Rs148.69), Sapphire Fibres (Rs109.60), Leiner Pak Gelatine (Rs33.98), Khyber Textile (Rs33.54) and Pak Tobacco (Rs26.52).

The companies registering significant decreases in their share prices in absolute terms were Unilever Foods(Rs165.50), JDW Sugar Mills (Rs25.78), Ismail Industries (Rs23.91), Service Industries (Rs18.37) and Atlas Honda Ltd (Rs16.05).

Foreign investors remained net buyers as they purchased shares worth $1.38m.

DAWN
 
Stocks rally on strong corporate results

Amidst political and economic uncertainty, the stock market staged a robust rally on Thursday, supported by better corporate results and falling yields on treasury bills.

Ahsan Mehanti of Arif Habib Corporation said the market surged as investors weighed up to 54 basis points cut in the yields of different tenors of the treasury bills in Wednesday’s auction.

This strengthened the market expectation of a further softening of monetary policy in the coming months as trade and industry players have continuously been demanding rationalisation of lending costs to revive economic activities.

He said strong corporate earnings and payouts in the oil sector also helped revived investor buying interest.

He said the bull run in global equities, the SBP governor’s assurance for the external sector manageable amid debt rollovers, the finance minister’s affirmation of economic stability and positive evaluation of credit rating agencies and likely IMF board approval for a new loan also contributed to the bullish close.

Topline Securities Ltd said the KSE index saw cherry-picking in initial trading as the cut in the T-bills rate brought the cement, steel, and auto sectors onto investors’ radars.

However, Mari Petroleum surprised the market with a higher-than-expected financial result and massive payout. Its stock price hit the upper circuit in a matter of minutes after the announcement, contributing the day’s highest 221 points to the index.

Oil and Gas Development Company and Pakistan Petroleum followed suit, adding 193 and 74 points to the index, respectively.

As a result, the benchmark index hit an intraday high of 77,969.27 points and a low of 77,085.48. However, it settled at 77,874.22 after adding 759.73 points or 0.99pc on a day-on-day basis.

The overall trading volume rose 10.18pc to 493.09 million shares. The traded value also surged 40.56pc to Rs25.84bn on a day-on-day basis.

Stocks contributing significantly to the traded volume included Kohinoor Spinning (93.86m shares), Fauji Fertiliser Bin Qasim (33.97m shares), Air Link Communication (25.14m shares), Oil and Gas Development Company (24.25m shares) and K-Electric (20.71m shares).

The shares registering the most significant increases in their share prices in absolute terms were Mari Petroleum Company Ltd (Rs259.89), Mehmood Textile Mills Ltd (Rs57.13), Khyber Textile Mills Ltd (Rs48.56), PIA Holding Company (Rs45.34) and Leiner Pak Gelatine Limited (Rs41.11).

The companies registering significant decreases in their share prices in absolute terms were Reliance Cotton Spinning Mills Ltd (Rs47.99), Hallmark Company Ltd (Rs21.85), Rafhan Maize Products Company Ltd (Rs21.71), Philip Morris (Pakistan) Ltd (Rs17.66) and Sapphire Textile Mills Ltd(Rs16.64).

Foreign investors remained net buyers as they bought shares worth $0.21m.

DAWN NEWS
 
PSX tumbles on economic uncertainty

The stock market continued its southward journey on Tuesday amid growing security concerns and economic uncertainty about securing the IMF board’s approval for the new loan programme.

Additionally, a nationwide strike call by the opposition for August 28 against the rising cost of electricity, gas, food, etc., supported by all the major chambers and traders associations across the country, depressed investor sentiments, triggering profit-taking and pushing the index further lower.

Ahsan Mehanti of Arif Habib Corporation said stocks closed under selling pressure amid institutional profit-taking on economic uncertainty.

He said reports of IMF board meetings agenda missing approvals on Pakistan’s 37-month $7 billion Extended Fund Facility, concerns over the falling rupee, surging industrial power tariff inviting closures, external financing gaps, and pending China IPPs dues restructuring played a catalyst role in bearish close.

Topline Securities Ltd said the benchmark KSE 100 index displayed notable volatility despite aggressive value-hunting by foreign investors, closing in red and extending overnight losses.

The decline was influenced by movements in the fertiliser, auto, and power sectors, with Fauji Fertiliser Company, Engro Corporation, Millat Tractors, Hub Power and Engro Fertiliser cumulatively wiped off 281 points from the index.

As a result, the KSE-100 index hit an intraday high of 78,857.62 and a low of 78,077.83. However, it settled at 78,084.24 after losing 486.82 points or 0.62pc day-on-day.

The trading volume rose 15.45pc to 591.51 million shares. The traded value, however, fell 9.40pc to Rs17.11bn day-on-day.

Stocks contributing significantly to the traded volume included Kohinoor Spinning Mills Ltd (74.33m shares), WorldCall Telecom (47.38m shares), Snergyico PK (43.91m shares), Dewan Farooque (28.59m shares) and Secure Logistics (28.03m shares).

The shares registering the most significant increases in their prices in absolute terms were Hallmark Company (Rs56.87), Mari Petroleum (Rs50.90), Unilever Foods (Rs45.00), Sazgar Engineering Works Ltd (Rs17.22) and Ghandhara Auto (Rs14.86).

The companies registering significant decreases in their share prices in absolute terms were PIA Holding Ltd (Rs73.63), Rafhan Maize (Rs46.99), Hoechst Pakistan (Rs30.74), Highnoon Laboratories (Rs26.58) and Nestle Pakistan (Rs23.60).

Foreign investors remained net buyers as they purchased shares worth $1.97m.

DAWN NEWS
 
Shares at PSX climb more than 400 points in intraday trade

Shares at the Pakistan Stock Exchange (PSX) climbed more than 400 points in intraday trade on Thursday, which one analyst attributed to the Moody’s rating upgrade which influenced investor sentiment.

The benchmark KSE-100 index climbed 421.02 points, or 0.54 per cent, to stand at 78,413.80 points from the previous close of 77,992.78 points at 10:41am.

Awais Ashraf, director research at AKD securities, attributed the trajectory to “Moody’s rating upgrade, due to improved external liquidity positions, has positively influenced investor sentiment and eased concerns about the delayed IMF board approval”.

On Wednesday, global ratings agency Moody’s upgraded Pakistan’s local and foreign currency issuer and senior unsecured debt ratings to Caa2 from Caa3, saying its decision to upgrade was due to “Pakistan’s improving macroeconomic conditions and moderately better government liquidity and external positions, from very weak levels”.

Yousuf M. Farooq, director research at Chase Securites, noted, “The KSE-100 has remained under pressure during the past few weeks on uncertainty of the timing of the IMF programme.”

“We believe that that Pakistan will be able to rollover its debt or arrange additional debt from foreign banks even if it is at a higher cost,” he said.

The government and the IMF agreed on the 37-month loan programme in July which, according to the fund, was subject to approval from its executive board and obtaining “timely confirmation of necessary financing assurances from Pakistan’s development and bilateral partners”.

“The market is now cheap when compared to the 10-year bond yield which is now yielding 1.5pc below the earnings yield of the 100 index and the index we believe will eventually adjust to incorporate lower risk-free rate,” Farooq said.

He noted that the market now awaits clarity on the IMF programme, adding that “over the last 10 years, the average earnings yield of the index has been 0.17pc lower than the 10-year risk-free rate”.

DAWN NEWS
 
Shares at PSX rally more than 400 points in intraday trade

Shares at the Pakistan Stock Exchange (PSX) continued to trade in the green on Friday as the index climbed more than 400 points in intraday trade.

The KSE-100 benchmark index climbed 446.50, or 0.57 per cent, to stand at 78,796.16 points from the previous close of 78,349.66 at 11:44am.

Mohammed Sohail, the chief executive of Topline Securities, said that the market was rising due to expectations of Morgan Stanley Capital International (MSCI) — a provider of global indices for passive investments —“rebalancing inflows”.

Additionally, he said that the Consumer Price Index (CPI) data — which measures household inflation and includes statistics about price change for categories of household expenditure — will be released on Monday with the “market expecting August CPI near 10pc”.

Previously, Pakistan’s CPI in July rose 11.1 per cent year-on-year.

Meanwhile, Awais Ashraf, director research at AKD Securities, said that the bullish momentum was “strengthened following Moody’s rating upgrade”.

On Thursday, the index had rallied after a period of uncertainty due to Moody’s upgrading Pakistan’s rating to Caa2 and its outlook to “positive”. The rating agency had said its decision to upgrade was due to “Pakistan’s improving macroeconomic conditions and moderately better government liquidity and external positions, from very weak levels”.

Ashraf added that the trajectory was amplified by the “ECC’s approval of an incentive scheme to boost remittances, which eases concerns on external financing pressures”.

Earlier, the Economic Coordination Committee (ECC) of the cabinet had approved an attractive incentives package for banks and foreign exchange companies to enhance home remittances through official channels.

DAWN NEWS
 
Stocks tumble on IMF, political uncertainty

KARACHI: Despite initially beginning the week with a bullish tone, the equities came under late selling pressure on Monday, forcing the KSE 100 index to close in the red amid IMF uncertainty and mounting political tensions.

Ahsan Mehanti of Arif Habib Corporation said stocks closed lower amid a slump in global equities and concerns about political noise.

He said uncertainty over IMF approvals on the Rs2.8tr funding plan to resolve circular debt crises and expectations over cautious State Bank of Pakistan policy to cut key interest rate at the Monetary Policy Committee’s Sept 12 meeting also contributed to the bearish close.

Topline Securities Ltd said the decline was primarily attributed to Millat Tractors, Hub Power, United Bank, Habib Bank and Meezan Bank, which accounted for a 354 points drop.

The shares registering the most significant increases in their prices in absolute terms were Haleon Pakistan (Rs41.13), Service Industries (Rs29.37), Hallmark Company (Rs24.31), Mari Petroleum (Rs16.85) and Shifa International (Rs12.12).

As a result, the KSE index hit an intraday high of 79,214.28 and a low of 78,545.69. However, it settled at 78,615.00 after losing 282.72 points or 0.36pc day-on-day.

The trading volume plunged 33.90pc to 491.12 million shares, while the traded value fell 21.5pc to Rs10.12bn day-on-day.Stocks contributing significantly to the traded volume included WorldCall Telecom (86.00m shares), Kohinoor Spinning Mills (42.93m shares), Pace Pak Ltd (37.26m shares), Trust Modaraba (33.75m shares) and Waves Home Appliances (32.95m shares).

The companies registering significant decreases in their share prices in absolute terms were Pak Engineering (Rs39.02), Rafhan Maize (Rs48.12), Sazgar Engineering Works Ltd (Rs42.57), Sapphire Textile (Rs41.94) and Millat Tractors (Rs39.02).

Foreign investors turned net sellers as they sold shares worth $1.75m.

DAWN NEWS
 
Shares at PSX soar 800 points in intraday trade after rate cut, IMF meeting date

Shares at the Pakistan Stock Exchange (PSX) rallied more than 800 points on Friday, a day after the State Bank of Pakistan (SBP) cut its key policy rate by 200 basis points.

The benchmark KSE-100 index climbed 868.08, or 1.1 per cent, to stand at 79,857.77 points from the previous close of 79,017.61 points at 11am.

Awais Ashraf, director research at AKD Securities, said: “Investors are enthusiastic on meeting all IMF requirements necessary to unlock $7bn Extended Fund Facility and aggressive monetary easing by State Bank of Pakistan in yesterday’s meeting.”

On Thursday, the International Monetary Fund (IMF) confirmed that the Fund’s board will meet on September 25 to discuss the new EFF.

Additionally, the central bank also announced reducing its key policy rate by 200 basis points (bps) to 17.5 per cent from 19.5pc amid demands for a major rate cut.

Mohammed Sohail, chief executive of Topline Securities, confirmed that the IMF board meeting date and rate cut helped propel market sentiment.

However, he cautioned that “some uncertainty on expected foreign selling due to FTSE rebalancing” was keeping the “share price in control”.

Yousuf M Farooq, director research at Chase Securities, attributed the rally “on news of the IMF board meeting on the 25th.

“A rate cut of 200bps was higher than market expectations and the market is expecting another rate cut in the next MPS,” Farooq said, however adding that the “FTSE rebalancing and the expectation of foreign selling has kept the rally in check”.

“But — with the expectation of a stabilising economy on the back of a new IMF programme — a broad based upward rerating can be expected in the market over the next year,” he said.

Shahab Farooq, director of research at Next Capital Limited, echoed the same sentiments, attributing the upward momentum to higher than expected cut in policy rate and announcement of date of review by the IMF’s executive board, whose delay had fuelled “concerns and uncertainties”.

“Further positive statements by finance minister and governor state bank confirming a stable external account and downtrend in inflation is likely to improve investor confidence going forward,” he said.

However, he cautioned that the fiscal side remained a concern “with higher chances of a mini budget despite staggering profits of the SBP”.

DAWN NEWS
 
The Pakistan Stock Exchange benchmark index KSE-100 gained 162.41 points on Wednesday to close at 81,967 points, from the previous day’s closing of 81,805

The KSE-100 index remained volatile throughout the trading session, hitting a high of 82,360 points before retreating to an intraday low of 81,529.45 points.

Investors remained active in the PSX as 360.98 million shares were exchanged, as against the previous turnover of 359.08 million shares.

As many as 448 scrips were active, out of which 164 advanced, 221 declined and 63 remained unchanged.

The highest volumes were witnessed in Agha Steel with a turnover of 30.83 million shares, followed by WorldCall Telecom with a turnover of 26.47 million shares. Fauji Cement remained the third with a turnover of 20.04 million shares.

Rafhan Maize Products Company Limited registered a maximum rise of Rs 187.57 per share price, closing at Rs 6,999, followed by Unilever Pakistan Foods Limited with a Rs 28.80 increase in its per share price to Rs 17,295.8.psx, kse-100, pakistan stock exchange, market

An analyst at Topline Securities Limited said that volatility in the Pakistan Stock Exchange was largely attributed to concerns over geopolitical developments, particularly the ongoing tensions in the Middle East, which weighed on global investor sentiment.

The KSE-100 overall performance was bolstered by United Bank Limited (UBL), Fauji Fertilizer Company (FFC), MCB Bank, Engro Corporation, and Pakistan GasPort Limited (PKGP), collectively contributing 270 points to the KSE-100 index.

Source: Ary News
 
The buying spree at the Pakistan Stock Exchange (PSX) continued on Wednesday, with the benchmark KSE-100 Index breaking past the 87,000 mark for the first time, closing at a new all-time high

The index finished the day at 87,194.53 points, gaining 727.96 points, or 0.84%. During trading, it touched a record intra-day high of 87,309.22 points.

This bullish trend was fueled by strong interest in energy sector stocks, particularly those of companies like HUBCO, K-Electric (KEL), Pakistan Petroleum Limited (PPL), Oil & Gas Development Company (OGDC), and Attock Refinery Limited (ATRL), all of which ended in positive territory.

Analysts credit the ongoing rally to growing anticipation of a cut in the central bank’s key policy rate, driven by expectations of lower inflation figures for the month.

“The decline in yields on the secondary market, coupled with political stability, a successful Shanghai Cooperation Organisation (SCO) summit, and significant local mutual fund investments, are key factors behind this unprecedented surge,” said Mohammed Sohail, CEO of Topline Securities, in a market note.

On the previous trading day, the PSX had already set a record, with the KSE-100 Index closing at 86,466.58 points, an increase of 409.06 points, or 0.48%. That rise was mainly attributed to aggressive buying by local investors, supported by institutional activity.

While trading volume on the all-share index dropped to 699.29 million shares from 722.21 million the previous day, the total value of traded shares increased to Rs26.82 billion from Rs25.02 billion in the prior session.

K-Electric Ltd led the volume with 207.63 million shares, followed by WorldCall Telecom at 42.92 million shares, and Pakistan International Bulk Terminal (PIBT) with 33.97 million shares.

Overall, 447 companies were traded on Wednesday, with 214 registering gains, 173 experiencing declines, and 60 remaining unchanged.

Meanwhile, the Pakistani rupee remained stable against the US dollar in the interbank market, closing at 277.73, a minimal gain of Rs0.01.

Source: The Express Tribune
 
The Pakistan Stock Exchange (PSX) has reached an all-time high, crossing the 91,000-point mark for the first time in history

The benchmark KSE-100 Index surged by 950 points, closing at a record 90,951 points, marking the fifth consecutive day of gains and showcasing strong investor confidence in the market.

The PSX has seen substantial growth over the past month, with steady increases contributing to this milestone.

The index’s robust performance reflects optimism among investors and a positive economic outlook.

Analysts attribute this record-breaking trend to a mix of positive corporate earnings, improved economic indicators, and increased foreign interest in Pakistan’s equity market.

The 90,000-point milestone underscores the PSX's position as one of the region's best-performing stock markets, highlighting a period of historic growth and resilience.

Source: Samaa News
 
Best investment for long term returns just choose a good mutual fund and park your money.

Stock market was surging pre Covid, then it took a dive but who ensured holding period have reaped benefits.

Time Value of Money , never underestimate it
 
The Bald Eagle said:
The Pakistan Stock Exchange (PSX) has reached an all-time high, crossing the 91,000-point mark for the first time in history

The benchmark KSE-100 Index surged by 950 points, closing at a record 90,951 points, marking the fifth consecutive day of gains and showcasing strong investor confidence in the market.

The PSX has seen substantial growth over the past month, with steady increases contributing to this milestone.

The index’s robust performance reflects optimism among investors and a positive economic outlook.

Analysts attribute this record-breaking trend to a mix of positive corporate earnings, improved economic indicators, and increased foreign interest in Pakistan’s equity market.

The 90,000-point milestone underscores the PSX's position as one of the region's best-performing stock markets, highlighting a period of historic growth and resilience.

Source: Samaa News
Click to expand...
The rising PSX must be giving the PTI supporters serious heart burn :ROFLMAO: .
Whether to cheer this or cry about it? Too much confusion :nonstop:
 
Aang_The_last_airbender said:
The rising PSX must be giving the PTI supporters serious heart burn :ROFLMAO: .
Whether to cheer this or cry about it? Too much confusion :nonstop:
Click to expand...
A normal citizen does not care about the stock market. they want cheap flour, cheap health facilities, cheap food which is not the case here in Pakistan.
 
Value-hunting takes PSX to new highs in bullish week

Amid falling volume, the Pakistan Stock Exchange (PSX) maintained a bullish spell, pushing the KSE 100 index to an all-time high near 91,000 in the outgoing week.

The rate cut expectation drove the market to new highs despite some uncertainties about the IMF review this month as the country missed some key benchmarks set for the first quarter.

Arif Habib Ltd (AHL) said the market commenced on a positive note this week on the back of the expectation of a rate cut in the upcoming monetary policy next week along with robust financial results, due to which the market reached an all-time high of 91,358 points in the intraday on Oct 29. On the economic front, Pakistan achieved a rare budget surplus of Rs1.7 trillion, the first after 2QFY04). Moreover, the primary surplus settled at Rs3tr. In addition, Saudi Arabia agreed to invest a further $600m in Pakistan, which took the total investment commitments to $2.8 billion.

However, the market came under selling pressure on Wednesday and Thursday after the Federal Board of Revenue (FBR) reported that it missed the collection target by a whopping Rs190bn for July-October.

The collection fell short of the target by Rs101bn in October owing to falling imports and a sharp deceleration in inflation. In October, tax collection reached Rs879bn against the target of Rs980bn. However, it saw an increase of 24pc compared to Rs711bn in the same month last year. Collection in the first four months of FY25 stood at Rs3.442tr compared to an estimated target of Rs3.632tr.

However, the investors began value-hunting as the index witnessed a 1,893-point rally, the fifth highest single-day gain in absolute terms, in the weekend session, pushing the index near 91,000, on the rising hopes of a bigger cut in the interest rate in the State Bank of Pakistan’s (SBP) Monetary Policy Committee meeting on Monday.

The Consumer Price Index-based inflation rose to 7.2pc year-on-year from 6.9pc in September, with the real interest rate comfortably above 10pc at the current SBP policy rate of 17.5pc.

Meanwhile, the SBP reserves rose $116m to $11.2bn during the week ended on Oct 25. The forex holdings of the central bank continued to increase since the last week of September after receipt of the first tranche of $1.03bn under the 37-month $7bn Extended Fund Facility.

The central bank also purchased about $1.3bn from the interbank market in June and July to boost its forex holdings to meet external debt repayment obligations.

As a result, the market settled at 90,859.85 points, up 866 points or 0.96pc week-on-week.

Sector-wise positive contributions came from exploration and production (391 points), technology (319 points), cement (244 points), oil marketing companies (189 points) and pharmaceuticals (174 points).

Meanwhile, the sectors that mainly contributed negatively were fertiliser (331 points), leather and tanneries (73 points), and engineering (45 points). Scrip-wise positive contributors were Systems Ltd (345 points), Pakistan Petroleum Ltd (345 points), United Bank Ltd (223 points), PSO (173 points), and Cherat Cement (154 points).

Meanwhile, scrip-wise negative contributions came from Engro Fertiliser (209 points), Mari Petroleum (144 points), National Bank of Pakistan (119 points), Engro Corporation (109 points), and Meezan Bank (105 points).

After a break of two weeks, foreigner buying was witnessed, clocking in at $1.97m compared to a net sell of $16.36m last week. Major buying was seen in all other sectors ($4.7m), followed by cement ($2.4m). On the local front, selling was reported by banks/DFIs ($13.1m), followed by other organisations ($1.1m).

The average trading volume fell 16.5pc to 559m shares while the average value dipped 9.3pc to $95m week-on-week.

According to AKD Securities Ltd, the market will stay positive next week, with a primary focus on the upcoming MPC meeting, where an anticipated rate cut could further bolster market momentum.

Despite the recent rally, valuations remain attractive, with the market trading at a price-to-earnings multiple of 4.0x and offering a dividend yield of 11.4pc.

DAWN NEWS
 
Stocks settle above 92,000 for first time

Despite a negative opening, the stock market on Tuesday maintained its record-setting spree for the second straight day as a bigger-than-expected cut in the interest rate bolstered investor sentiments, helping the KSE 100 index close above 92,000 for the first time.

The KSE-100 index hit an intraday low of 91,536.09, losing 401.91 points and a high of 92,514.30, gaining 576.30. However, the index settled at the highest-ever level at 92,304.32 after adding 366.32 points or 0.40 per cent day-on-day.

Ahsan Mehanti of Arif Habib Corporation said stocks settled at an all-time high due to robust remittances in October, surging the $3 billion mark and a surprising reduction of 250bps in the State Bank of Pakistan’s policy rate against the market consensus expectations of 200bps.

Other factors that helped the market maintain its bull run include surging cement exports by over 50pc year-on-year in October, an expected inflow of $500 million from the Asian Development Bank this week, and higher global crude oil prices, he added.

Topline Securities Ltd said the positive trend could be attributed to a fourth consecutive interest rate cut, bringing the policy rate to 15pc from 22pc in June.

Also, assurances from the SBP chief about key economic indicators boosted investor confidence.

Key contributors to the index rise were Lucky Cement, Hub Power, Oil and Gas Development Company, Systems Ltd, and Millat Tractor, which collectively added 274 points. Conversely, Unite Bank Ltd, Habib Bank, Bank Al-Habib, Cherat Cement, and Meezan Bank wiped out 143 points from the index.

However, investor participation witnessed a surge as the trading volume rose 27.66pc to 752.66m shares while its value increased 9.57pc to Rs32.82 day-on-day.

Stocks contributing significantly to the traded volume included Power Cement (66.26m shares), Sui Southern Gas (51.96m shares), Fauji Foods (32.39m shares), PIA Holding Co (28.10m shares) and Maple Leaf Cement (27.52m shares).

The shares registering the most significant increases in their prices in absolute terms were Indus Motor (Rs73.60), Sazgar Engineering Works Ltd (Rs49.05), Lucky Cement (Rs28.09), Ismail Industries (Rs25.39) and Atlas Honda (Rs24.53).

The companies that suffered significant losses in their share prices in absolute terms were Unilever Foods (Rs554.53), Rafhan Maize (Rs63.26), Philip Morris (Rs47.47), Bela Automotives (Rs36.53) and Service Industries (Rs23.55).

Foreigners remained net sellers as they sold shares worth $0.35m. However, mutual funds remained active buyers and picked shares worth $3.49m.

DAWN NEWS
 
PSX 100-Index crosses 92,000 benchmark once again

The Pakistan Stock Exchange (PSX) witnessed a strong upward trend at the start of today’s trading session, with the benchmark KSE-100 Index gaining 500 points to reach 92,525 points.

The increase comes after the index closed at 92,021 points with a decrease of 282 points at the end of the Thursday trading day.

In the currency market, the Pakistani rupee strengthened slightly against the US dollar, with the dollar’s interbank rate dropping by four paisas to Rs277.85.

On the last business day, the dollar closed at Rs277.89 in the interbank market.

Market analysts attribute this positive momentum to increased investor confidence and stable economic signals, with further gains anticipated in the coming sessions.

SAMAA
 
The Pakistan Stock Exchange (PSX) continued its upward momentum on the last business day of the week, as the KSE-100 index surged by 619 points, reaching an all-time high of 93,140.26 points as of 1:00pm during intra-day trading

The KSE-100 index climbed 619.78 points, or 0.67%, hitting the record level of 93,140.26 during intra day trading with previous day’s closing of 92,520.48.

The market opened with a promising rally, reaching a high of 93,141.70 during intra-day trading, with a low of 92,566.49.

The day’s trading volume reached 146,122,445 shares, with a total transaction value of approximately PKR 8.53 billion.

Earlier, Bulls made a strong comeback at the Pakistan Stock Exchange (PSX) on Thursday, sending the KSE-100 index soaring by nearly 500 points to a fresh record high, as investors expected a credit ratings upgrade and injection of fresh Saudi investment.

The market also received a boost from the fall in Sukuk yield and inclusion of several Pakistani companies in the MSCI Frontier Markets Small Cap Index, which would further attract global investors and accelerate foreign fund inflows.

Meanwhile, attention was focused on the upcoming visit of an International Monetary Fund (IMF) review mission, scheduled for next week, to assess Pakistan's performance under the $7 billion Extended Fund Facility.

During the day, the KSE-100 oscillated between the intra-day low of 92,185.69 and the intra-day high of 92,694.54.

"Stocks closed at an all-time high as investors anticipated a ratings upgrade following finance minister's assurance of macroeconomic stability. The MSCI is also set to revise Pakistan's standard index weight to 4.4% on November 26, reflecting an outperforming market and improved liquidity," said Ahsan Mehanti, MD of Arif Habib Corp.

"Falling lending rates, over $3 billion in remittances for October and a surge in exports were major catalysts for the record close at the PSX," he added.

At the end of trading, the benchmark KSE-100 index posted a healthy growth of 499.05 points, or 0.54%, and settled at 92,520.49.

Topline Securities, in its commentary, stated that the KSE-100 index opened on a positive note and reached its intra-day high of 673 points.

It was driven by the recent Ijara Sukuk auction, where the cut-off yield on one-year bonds fell to 10.99%, which signalled a potential decline in yields across all tenors in the upcoming T-bills and PIB auctions, it said.

Following the prime minister's visit to Saudi Arabia, a delegation led by the energy minister had been sent, with new Saudi investment expected, including in the Reko Diq mining project.

"This has sparked investors' interest in Oil and Gas Development Company (OGDC) and Pakistan Petroleum Limited (PPL)," Topline added.

Arif Habib Limited, in its report, wrote that the KSE-100 was starting to pull away from the 92,000 mark and heading into the last session of the week it was up 1.8% week-on-week.

Dawood Hercules Corporation (+7.58%), OGDC (+2.62%), and Engro Corporation (+2.92%) were the biggest contributors to the index gains, while Systems Limited (-2.04%), Habib Bank Limited (-1.4%) and MCB Bank (-0.83%) were the largest drags, it said.

AHL mentioned that the MSCI added eight Pakistani companies and deleted one from its Frontier Markets Small Cap Index. With this, Pakistan's weight in the MSCI Frontier Markets Index reaches around 4.5% and in the Small Cap Index, it stands around 10%.

JS Global analyst Mubashir Anis Naviwala wrote that positive economic signals and rupee stability helped bolster investors' confidence, leading to a strong trading session on Thursday.

The KSE-100 closed in the green, supported by optimism across key sectors. Trading volumes reached 679 million shares, where significant activity was seen in fertiliser, oil and gas exploration, and power generation and distribution sectors, the analyst added.

Overall trading volumes decreased to 678.8 million shares compared with Wednesday's tally of 889.2 million. The value of shares traded during the day was Rs24.8 billion.

Shares of 449 companies were traded. Of these, 257 stocks closed higher, 145 fell and 47 remained unchanged.

The Bank of Punjab was the volume leader with trading in 62.9 million shares, gaining Rs0.36 to close at Rs6.57. It was followed by Kohinoor Spinning Mills with 46.5 million shares, gaining Rs0.54 to close at Rs7.83 and K-Electric with 34.7 million shares, gaining Rs0.16 to close at Rs4.80.

Source: The Express Tribune
 
The Pakistan Stock Exchange (PSX) saw a sharp decline in the KSE-100 Index on Tuesday, as political unrest in the federal capital weighed heavily on market sentiment

During intraday trading, the benchmark index plunged by more than 2,400 points.

According to the PSX website, the market opened on a negative note, with the KSE-100 shedding over 600 points in the early hours of trading. However, by 11:00 am, the market experienced a brief recovery due to significant buying activity in the banking sector, pushing the KSE-100 to its highest point of 99,819.59.

Despite the early recovery, the index quickly reversed course. By 12:36 pm, the KSE-100 had fallen to 95,743.68, a drop of 2,472.04 points.

At 1:26 pm, the index was at 97,100.33 points, down by 9,79.59 points, or a 1.00% decrease from the previous session's close.

The sharp fluctuations in the market reflect the investor uncertainty amid ongoing political developments in the capital.

Previously, the stock market on Monday enjoyed another dynamic session, when it made a strong rebound from the early fall and closed at an all-time high above 98,000 points, influenced by robust investor interest in the banking sector and some easing of political noise.

After dipping to the intra-day low of 97,137.63 points at the beginning of trading, the KSE-100 index recovered soon and skyrocketed to the intra-day high above 99,300 points well before midday. At that point, investors resorted to profit-booking, wiping off some of the gains. The index eventually settled at 98,080 with a gain of 282 points.

In terms of volumes, top performers of the day were Hascol Petroleum with 65 million shares, Cnergyico PK with 48 million shares and Fauji Foods with 41 million shares.

Looking ahead, the market is expected to sustain its upward trend, supported by encouraging macroeconomic indicators. However, rising political uncertainties may be a barrier and force investors to move cautiously.

Source: The Express Tribune
 
Unfortunately this PSX has no concern/ impact on the life of common man in Pakistan, a sham exchange it is covering the interest of 25/30 leading companies
 
As street confrontations in capital end, shares at PSX bounce back with 3,000-points surge in intraday trade

Shares at the Pakistan Stock Exchange (PSX) traded in green after experiencing volatility due to the final protest call of a political party on Wednesday.

The benchmark KSE-100 climbed 3275.22 points, or 3.46 per cent, to stand at 97,849.38 points from the previous close of 94,574.16 at 9:43am.

Mohammed Sohail, chief executive of Topline Securities, said that the stock at the stock exchange were recovering after concerns regarding PTI’s protest dissipated.

Yousuf M. Farooq, director research at Chase Securities, stated, “The market is recovering from a sharp correction as the government has successfully dispersed crowds in Islamabad.”

He added that attention had “shifted back to declining interest rates and earnings growth”.

“Meezan Bank opened under some pressure following the State Bank of Pakistan’s implementation of a Minimum Deposit Rate for Islamic banks,” he highlighted, adding that retail investors “should look beyond short-term fluctuations and focus on long-term investment strategies, understanding that they are purchasing shares in well-established Pakistani companies with a track record of gradually growing earnings and payouts”.

PTI, in the early hours of Wednesday, said that it was calling off its high-stakes Islamabad protest sit-in “for the time being”, following a day of clashes between security forces and protesters in the city’s Red Zone ended in the party leadership’s hasty retreat.

As PTI supporters inched towards the heavily barricaded D-Chowk late on Tuesday, the police and security forces employed intense teargas shelling to disperse the protesters.

The late-night retreat by the PTI leadership, including Bushra Bibi and Khyber Pakhtunkhwa Chief Minister Ali Amin Gandapur, came after the latter was heard telling the protesters “to go home, have dinner and return tomorrow”.

DAWN NEWS
 
PSX hits 100,000 milestone for the first time

Shares at the Pakistan Stock Exchange (PSX) surged more than 900 points to hit the historic 100,000 milestone on Thursday.

The benchmark KSE-100 surged 947.32, or 0.95 per cent, to stand at 100,216.57 points from the previous close of 99,269.25 points at 9:35am.

The record comes two days after the PSX saw brief uncertainty due to political tensions, recovering tremendously the next day as it witnessed the highest single-day gain on Wednesday.

Mohammed Sohail, chief executive of Topline Securities, said, “A remarkable 150pc return from 40k to 100k in just 17 months!”

“New IMF (International Monetary Fund) loan coupled with fiscal and monetary discipline improving investors sentiments,” he highlighted, adding that faster-than-expected fall in inflation and interest rates added cash liquidity to the stock market.

Despite the rally, Sohail noted that the market’s price-to-earnings ratio still traded at 5x compared to the historical average of 7x.

“From less than 1,000 points in the late 1990s to 100,000 today, the market is up 100 times,” he pointed out, adding that this happened after “25 years of ups and downs, bull runs and bear runs, optimism and pessimism”.

“Despite challenges, the market has generated following returns in last 25 years,” he noted, adding that there’s a 20pc annual return in rupee and a 13pc annual return in the greenback which stood as a “testament to resilience and potential”.

Faran Rizvi, head of equity sales at JS Global, said, “In a historic milestone, the KSE-100 has today reached the 100,000 index level, in line with our year-end target.”

He pointed out their target of 100,000 with 60pc return for the index “was premised on a combination of 47pc capital gains and a 13pc dividend yield”.

Yousuf M. Farooq, director research at Chase Securities, observed the index had broken the “psychological barrier of 100,000 points today”, adding that stock market had compounded investor capital at an annual rate of 16 to 18pc historically.

“Periods of prolonged low returns have consistently been followed by phases of significant growth, as seen in previous years,” he highlighted.

Farooq recommended that investors prioritise “long-term compounding rather than being overly concerned about short-term market fluctuations, as even professionals find it difficult to time these movements accurately”.

“At an annual compounded return of 17pc, the PSX could potentially reach 480,000 points by 2034 and an astounding 2,300,000 points by 2044,” he said.

He added, “To put this into perspective, the KSE-100 Index stood near 5,500 points 20 years ago and around 31,000 points 10 years ago.

“Over the past 20 years, investor returns have been approximately 18x, while the past decade has yielded a return of around 3.22x.”

He remarked that the returns were realised “despite facing historically challenging circumstances, including prolonged periods of high inflation, devastating floods, political instability, and multiple currency crises”.

“We believe retail investors should adopt a long-term perspective, investing small amounts of capital monthly in a diversified portfolio aligned with their risk appetite,” he advised, adding that it was critical “to consult a financial advisor to ensure investments”.

Awais Ashraf, director research at AKD Securities, pointed out that “political and macroeconomic stability have driven a significant bull run in the KSE-100 Index, delivering a remarkable 150pc return over the past 18 months”.

He observed that the IMF bailout helped the government stabilise the external account, which contributed to ease in inflationary pressure from 38pc to 7.2pc.

“This improvement allowed the State Bank of Pakistan (SBP) to lower the policy rate by 700 basis points this year while also boosting foreign exchange reserves,” he said.

Furthermore, he highlighted that despite gains, the market remained attractively valued with the price-to-earning ratio of 4.7x — a “considerable discount compared to historical averages and regional benchmarks”.

“Declining fixed income yields, coupled with ongoing macroeconomic stability, strengthen the case for equity investments,” he commented.

PM Shehbaz congratulates nation on milestone

Prime Minister Shehbaz Sharif congratulated the country on the KSE-100 Index surpassing the 100,000 milestone for the first time, state-owned Radio Pakistan reported.

The premier said this “remarkable achievement reflects the trust of business community and investors in government’s policies”.

Shehbaz Sharif said the “government’s economic team and officials working tirelessly to promote investment in the country deserve appreciation for achieving this milestone”.

Furthermore, he promised to take “every possible measure for the economic stability and development of the country”, adding that they “sacrificed their politics to save Pakistan from default”.

“By the grace of God Almighty, the sacrifice has not gone in vain,” he stated, adding that as soon as the “anarchist group left, the positive trend returned to the stock exchange”.

DAWN NEWS
 
Stock market continues bullish run as index grows by 1000 points again

The Pakistan Stock Exchange (PSX) continued the upward trend the market is experiencing, crossing the 1,000 points mark on Tuesday, a day after annual inflation dropped to a six-and-a-half-year low of 4.9 per cent in November.

The benchmark KSE-100 index climbed 1084.31 points, or 1.05pc, to stand at 104,359.25 points from the previous close of 103,274.94 points at 2:47pm.

At around 10am, the index fell drastically by 449.35 going to a low of 102,825.59. However, as the day went on, the index soared, reaching the high of 104,445.80.

Yousuf M Farooq, Director of Research at Chase Securities, said the surge was continued by the positive news on the economic front, citing the 78-month low consumer price index in November and the release of trade deficit figures narrowing 19pc year-on-year to $1.589bn.

“The market is rerating upwards in anticipation of lower interest rates and stronger earnings growth in the future,” Farooq said while speaking to Dawn.com.

Farooq recommended that retail investors focus on long-term financial goals by ignoring short-term market fluctuations and consistently investing small amounts monthly into a diversified portfolio of companies that they understand.

On the other hand, AKD Securities Director Research Awais Ashraf, said: “Investors have grown more optimistic about the State Bank of Pakistan (SBP) continuing with monetary easing in the upcoming Monetary Policy Committee (MPC) meeting, following the release of inflation and trade data.”

Ashraf told Dawn.com that the November inflation rate of 4.9pc drove the real interest rates to over 10pc, signalling room for a potential rate cut.

“We recommend investors focus on sectors closely tied to structural reforms and monetary easing when constructing their portfolios,” he said.

DAWN NEWS
 
Who are the beneficiaries of this PSX , certainly not the common man in Pakistan, where gas electricity and fuel prices are increasing every month.

So stock market of Pakistan has no role in the economic growth of country
 
Kianig89 said:
Who are the beneficiaries of this PSX , certainly not the common man in Pakistan, where gas electricity and fuel prices are increasing every month.

So stock market of Pakistan has no role in the economic growth of country
Click to expand...

Stock market is roughly an indicator of market’s confidence in the economy moving forward. This bullish run could be attributed to confidence of investors in the current government.
 
Bhaijaan said:
Stock market is roughly an indicator of market’s confidence in the economy moving forward. This bullish run could be attributed to confidence of investors in the current government.
Click to expand...
So my thesis is significant
 
Kianig89 said:
So my thesis is significant
Click to expand...

Pakistanis have a hard battle to fight. The growth opportunities have largely left your shores to other low labour countries while in abroad you’re dealing with Bharatiya and Chinese diaspora taking away most of the attractive jobs and businesses. Sometimes I understand why being religious works for certain countries as the reality of life isn’t too easy to deal with most.
 
Bhaijaan said:
Pakistanis have a hard battle to fight. The growth opportunities have largely left your shores to other low labour countries while in abroad you’re dealing with Bharatiya and Chinese diaspora taking away most of the attractive jobs and businesses. Sometimes I understand why being religious works for certain countries as the reality of life isn’t too easy to deal with most.
Click to expand...
Pakistanis have themselves to blame for mmost of the things like the current regime hell bent on destroying IT sector growth through firewalls and VPNS etc. Some big IT clients shifted their projects from Pakistan to Vietnam
 
Kianig89 said:
Pakistanis have themselves to blame for mmost of the things like the current regime hell bent on destroying IT sector growth through firewalls and VPNS etc. Some big IT clients shifted their projects from Pakistan to Vietnam
Click to expand...

We in Bharat often regret all the opportunities that we missed that landed foreign shores due to our deficiencies as a nation but bravo Pakistan is next level when it comes to letting it all go. Your army has screwed you royally since 1947.
 
PSX rallies past 106,000, gaining 1,500 points as effects of positive economic indicators persist

The Pakistan Stock Exchange (PSX) broke the 106,000-point mark on Thursday, gaining more than 1,500 points as the rally supported by positive economic indicators and lower inflation rates continued.

The benchmark KSE-100 index rose 1533.30 points, or 1.46 per cent, to stand at 106,637.63 points from the previous close of 105,448.05 points at 12:03am.

The rally continues following Pakistan’s annual inflation rate dropping to 4.9pc in November, its lowest level since 2017. It also marks a week since the PSX hit the 100,000 mark for the first time.

The country’s trade deficit also narrowed by 19pc year-over-year to $1.59 billion, bolstering expectations of a robust current account surplus and uplifting market confidence.

Awais Ashraf, director of research at AKD Securities, told Dawn.com: “The primary driver behind the 68 per cent index rally this calendar year is the sustained aggressive buying of mutual funds, especially in the latter half.”

He added the rally was spurred by “declining fixed-income yields amid a stable macroeconomic environment”.

As the PSX maintained its bullish momentum on Wednesday, analysts highlighted that investors were also optimistic about a further reduction in interest rates in the upcoming monetary policy meeting scheduled for Dec 16.

They also cited indications of economic growth recovery, a rebound in cement sales and a surge in petroleum sales as factors adding to investors’ confidence.

Earlier this week, according to Topline Securities Ltd, the trade value in the ready market climbed to an impressive Rs57 billion ($203m), marking the highest level in 18 years.

DAWN NEWS
 
Another day, another record high at PSX as KSE-100 breaches 109,000-mark in intraday trade

The Pakistan Stock Exchange (PSX) continued to attain new highs on Friday as yet another 1,100 points took shares across the 109,000 mark in intraday trade, with analysts noting investors’ increased interest in buying equities.

The benchmark KSE-100 index rose 1,110.66 points, or 1.03 per cent, to stand at 109,349.62 points from the previous close of 108,238.96 at 10:20am.

The surge comes just a day after the PSX witnessed the third-largest single-day rally of 3,134.63 points. It follows sustained optimism after Pakistan’s annual inflation rate dropped to 4.9pc in November, its lowest level since 2017.

Awais Ashraf, director of research at AKD Securities, noted that the “absence of attractive alternative investment opportunities is attracting investors to equities, which are currently available at relatively low multiples”.

“Additionally, expectations of an interest rate cut in the upcoming Monetary Policy Committee meeting [on Dec 16] are also contributing to the upward movement of the index,” he highlighted.

Ashraf pointed out that in today’s trading session, Engro and Dawood Hercules combined added more than 400 points to the index, following their agreement with Pakistan Mobile Communications Limited on tower assets.

Yesterday, Topline Securities Ltd Chief Executive Mohammed Sohail had attributed the session’s stellar performance to non-stop buying by local mutual funds, which helps local bourses create new records every day.

Meanwhile, Ahsan Mehanti of Arif Habib Corporation had said rupee stability, falling lending rates, government debt stock and bond yields drove the market to new highs.

According to Mehanti, the PSX achieved another milestone as market activity surged to an almost 19-year high, with a traded value of Rs63.0bn ($227m).

Record-breaking volumes underscored the day’s intense trading activity, reflecting broad-based participation across sectors. The rally was predominantly driven by relentless buying from local mutual funds, the primary catalyst for sustaining the bull run.

DAWN NEWS
 

Pakistan stock market closes above 109,000 points on Saudi deposit rollover, upbeat indicators​


The Pakistan Stock Exchange (PSX) on Friday closed at 109,053.95 points when trading ended on Friday, as the bullish sentiment prevailed in the market, analysts said, a day after Saudi Arabia rolled over $3 billion deposit with Pakistan and amid improving macroeconomic indicators.

The benchmark KSE-100 index surged by 814 points, or 0.75 percent, when trading ended on Friday.

Ahsan Mehanti, chief executive officer of Arif Habib Commodities, attributed the euphoria to the rollover of Saudi deposit, a stable rupee and upbeat economic indicators.

“Stocks bullish trend was led by selected scrips, led by oil and banking sector, amid speculation ahead of SBP [State Bank of Pakistan] key policy rate announcement next week,” he told Arab News.

Saudi authorities extended the $3 billion financial support to Islamabad in November 2021 to shore up Pakistan’s foreign exchange reserves. The Kingdom rolled over the deposit in 2022 and 2023 as Pakistan faced an economic crisis.

The South Asian country slashed interest rates by 250 basis points in November to help revive a sluggish economy, amid a major drop in the annual inflation rate.

On Thursday, the PSX posted its third largest single-day gain, adding 3,135 points, or 2.98 percent, to the KSE-100 index to close at 108,239 points.

According to a poll conducted by Topline Securities, 71 percent of participants expect the central bank to announce a minimum rate cut of 200bps later this month.

 
1,400-point rally pushes KSE-100 index past new intraday high of 111,000

Continuing its upward trajectory, shares at the Pakistan Stock Exchange (PSX) climbed over 1,400 points on Tuesday in intraday trade to make the KSE-100 index cross the 111,000 mark.

The benchmark KSE-100 index climbed 1,482.06, or 1.35 per cent, to stand at 111,452.44 points at 10:55am from the previous close of 109,970.38 points.

Extensive mutual fund buying during the previous week sent the index soaring by a record point-wise weekly gain of 7,697 points as analysts attributed the rally to lower inflation and positive macroeconomic indicators.

Mohammed Sohail, chief executive of Topline Securities, attributed the bullish momentum in today’s session to “non-stop buying by local funds”.

“However, some profit-taking is also seen due to political noise,” he added.

Awais Ashraf, research director at AKD Securities, said: “Lack of alternative investment avenues in declining commodities and fixed-income yields, coupled with a stable macroeconomic environment, has boosted the appeal of equities.”

Ashraf noted there were expectations of an interest rate cut in the upcoming Monetary Policy Committee (MPC) meeting “amid strong economic indicators”.

“However, banks are likely to remain under pressure until the committee established by the prime minister to reassess the ADR [advance-to-deposit ratio] tax issues its report,” he highlighted.

The State Bank of Pakistan’s MPC is due to meet on December 16 to decide on further interest rate cuts.

DAWN NEWS
 
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