KARACHI: The Pakistan Stock Exchange has managed to end the week with decent gains on the back of activities in the corporate sector and positive news from the country’s economic front.
The market reflected the strength and went through a consolidation phase with corrections on the way up. Traders and analysts say with the current strength the benchmark index may touch an all-time high by the end of this month.
The benchmark KSE-100 Index gained 1,085.48 points, advancing to 48,211.70 points at the end of the week from 47,126.29 points at the outset. The market had over a thousand points gain during the week earlier.
“It is very positive for market to take corrections on the way,” Khurram Schezad, CEO Alpha Beta Core, said. “The market is moving forward with strength as the adjustments and corrections are preventing any unusual pressure or panic sell.”
Despite some decline, there has been an addition of over 2,000 points in last ten days without creating a bubble that can break the momentum.
By looking at the current momentum of the market, the corporate announcements by the June end and above all the budget hopes, the market may breach or at least touch the all-time high record this month, traders and analysts have claimed.
There are expectations in the market that the consolidation period for both market and country’s economy is about to turn into a growth period, they added.
On Friday, Prime Minister Imran Khan said the government has steered the country out of difficult times, and now it will witness sustainable growth and development. He also said there will be now wealth generation and people will get job opportunities. On the economic front, he said the people will continue to hear good news.
The statement added to the sentiments as his government is all set to present its third budget on June 11. The total volume of the budget could be around Rs8,000 billion while the economic growth target has been set at 4.8 per cent.