Political uncertainty leads to 330 points slump in KSE-100 Index

KARACHI: Bulls seem to strengthen their hold at Pakistan Stock Exchange (PSX) as the favorable statements related to gas supply conditions, ease in COVID-19 related restrictions, and activities at the corporate front helped to regain investors’ interest. The benchmark KSE-100 Index was trading at 47,367 points up 229 points at 12:28 pm.

The market seems to have entered in recovery phase as investors remained busy in selective buying on discounted prices.
However, increase in prices to the levels near the resistance levels can trigger some profit taking in later part of the trading day.

The positive statement regarding the restoration of gas supply in a few days helped the market regain investors’ confidence. The glitch in gas supply, especially to the industries led to forced production halts in the last few days, traders and analysts said. 

While the activity in the corporate sector such as over subscription of public offering and disclosure of investment plans by leading corporates also helped the market regain confidence, they added.

Special Assistant to Prime Minister on Petroleum and Power Tabish Gauhar has said that the current gas crisis is “temporary in nature” and that there would be “major improvement 2-3 days”. The PM’s aide said that in a meeting with the Federation of Pakistan Chamber of Commerce and Industry.

He said “major shipment of LNG has arrived and will be transmitted and distributed through SSGCL (Sui Southern Gas Company) system within few days”.

Gauhar said that the repair and maintenance works of the gas fields were mandatory and unavoidable, adding that the government was “aware of the enormous challenges being faced by the industry

The author is a senior business and economy journalist . He has worked for leading local and international news organisations.


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