Stocks continue roller-coaster ride as 100-index reaches 66335 points

On the first business day of the week at the Karachi Stock Exchange (PSX) as 100-Index gained 200 points and the benchmark reached at 66335 points.

The KSE-100 index has increased by roughly 18,000 points or 37 percent over the last 10 weeks. In 2017, the KSE-100 index benchmark reached 52,000 points.

The lackluster performance of the equity market can be attributed to a combination of factors, including policy uncertainty, political volatility, an ongoing circular debt crisis, and an economic model heavily reliant on borrowing to drive consumption.

Previous government emphasis on supporting real estate schemes diverted liquidity towards real estate as an asset class.

Macroeconomic instability played a significant role in the market's relatively flat performance.

Over the last five years, the rupee-dollar exchange rate exhibited heightened volatility compared to the previous two decades, leading to a significant depreciation of the rupee.

The absence of a coherent policy outlining the direction of the rupee-dollar exchange rate, or at least ensuring stability, further undermined the confidence of foreign portfolio investors in Pakistan.