The Pakistan Stock Exchange (PSX) witnessed a robust bullish trend today, catapulting the benchmark SE-100 index by a staggering 965 points.
This surge comes on the heels of a groundbreaking agreement between the Pakistan People's Party (PPP) and the Muslim League (N) to form a new government, sending ripples of optimism across the financial landscape.
As the clock struck 9:49 am, the PSX website reported the KSE-100 index soaring to 61,429 points, marking a significant ascent from its previous close at 60,464 points. Market analysts wasted no time in attributing this impressive rally to the newfound clarity in the political arena.
Mohammad Sohail, the Chief Executive of Topline Securities, shared his insights with Dawn News.TV, affirming that the market's bullish trajectory was a direct response to the long-awaited agreement between the political factions.
Echoing similar sentiments, Owais Ashraf, the Research Director at Akshir, underscored that investor confidence had received a considerable boost following the clarity on the government formation.
Yousaf M. Farooq, Director at Chase Securities, emphasized the positive momentum generated by the resolution of political uncertainties, which had plagued the market in recent days.
Just last week, the PSX experienced tumultuous fluctuations amidst political ambiguity, witnessing a sharp decline in the SE-100 index by 1,147 points on the eve of the general elections.
The anticipation of a 'weak coalition government' coupled with calls for protests had cast a shadow of doubt on the market's stability, as noted by Owais Ashraf.
However, the tide turned decisively after the announcement of a coalition government comprising the Pakistan Muslim League (N), People's Party, and other allied parties on February 14.
This pivotal development injected renewed optimism, propelling the SE-100 index by 926 points.
The rollercoaster ride for the PSX began earlier in February, with the index grappling with political uncertainties and market jitters. Yet, today's surge marks a resounding vote of confidence in the country's economic prospects as stability and clarity reign supreme in the political landscape.
With investors eyeing the horizon with renewed optimism, the Pakistan Stock Exchange stands poised for further growth and prosperity in the days to come.
