Energy sector propels stock exchange over 50,300 mark as rupee hits back
Business
Improved economic indicators give confidence to investors
KARACHI (Web Desk) – The Pakistan Stock Exchange on Thursday surged by 933.68 points, or 1.89 per cent, as the energy sector again propelled the benchmark KSE-100 Index over the 50,000 marks.
A stronger rupee and improved economic indicators amid continuous reduction in trade deficit were being cited as the main reasons reason behind this performance.
On the political front, the Islamabad High Court (IHC) granted protective bail to former prime minister Nawaz Sharif till Oct 24. His return on Saturday may herald political stability in the country and could result in early announcement of general elections date.
By the time trading was closed for the day, the benchmark index was recorded at 50,365.15 against the previous closing of 49,431.47, which means 23.40pc increase during the current calendar year.
During Thursday’s session, the KSE-100 Index vacillated between a high of 50,399.92 and low of 49,436.92 with a trading volume of over 248 million shares.
The rupee reversing the US dollar’s upward movement certainly gave confidence to investors as the last two sessions saw the local currency losing ground against the greenback, creating panic in some circles.
At the same time, the IMF is pushing Pakistan hard for raising the gas prices which will help arrest the circular debt issue albeit it is going to further fuel inflation and thus worsen the cost-of-living crisis in the country.
