Islamabad (National Times) Shares at the Pakistan Stock Exchange (PSX) climbed more than 700 points in intraday trade on Monday on expectations of lower inflation numbers.<\/p>\n\n\n\n
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.<\/p>\n\n\n\n
Mohammed Sohail, chief executive of Topline Securities, said that investors were \u201cbuilding new positions amid expectations of lower CPI (Consumer Price Index) reading\u201d.<\/p>\n\n\n\n
Moreover, he said that it was also expected that the International Monetary Fund (IMF) staff-level agreement (SLA) \u201cwill be reached soon after passing of tax-laden budget\u201d.<\/p>\n\n\n\n
Amreen Soorani, head of research at JS Global, said, \u201cBullish sentiment prevails at PSX as the Finance Bill\u2019s approval fuels optimism for an IMF deal.\u201d<\/p>\n\n\n\n
\u201cPakistan\u2019s attractive valuations, trading at just 4x multiples despite a near 90pc gain over the past year, further entice investors compared to global peers,\u201d she added.<\/p>\n\n\n\n
Raza Jafri, chief executive of EFG Hermes Pakistan, highlighted that the passage of the FY25 budget was a \u201cbig step towards securing an IMF programme\u201d and was being treated positively by investors.<\/p>\n\n\n\n
\u201cThe 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,\u201d he added.<\/p>\n\n\n\n
Yousuf M. Farooq, director of research at Chase Securities, attributed the upward trajectory to the \u201cpassing of the budget, [which] should lead to Pakistan getting into its next IMF programme\u201d.<\/p>\n\n\n\n
\u201cA new IMF programme would lead to stability on the external front and a check on Pakistan\u2019s fiscal account,\u201d he elaborated.<\/p>\n\n\n\n
Furthermore, he said that \u201clower inflation going forward should also lead to a gradual decline in interest rates and a gradual upward re-rating of the market\u201d.<\/p>\n\n\n\n
Awais Ashraf, director research of AKD Securities, echoed the same sentiments.<\/p>\n\n\n\n
He said, \u201cApproval 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.\u201d<\/p>\n","protected":false},"excerpt":{"rendered":"
Islamabad (National Times) Shares at the Pakistan Stock Exchange (PSX) climbed more than 700 points in intraday trade on Monday on expectations of lower inflation numbers. 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. Mohammed Sohail, chief executive of Topline […]<\/p>\n","protected":false},"author":2,"featured_media":84732,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[6],"tags":[],"class_list":["post-84731","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-investment","entry"],"yoast_head":"\n