Stocks at PSX climb 1,200 points after govt clinches IMF deal
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.
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”.
More to follow.