Stock Market Continues Bullish Trend, Gains Over 2,000 Points

Islamabad:The Pakistan Stock Exchange (PSX) is witnessing a strong bullish trend as the market saw an increase of over 2,000 points during today’s trading session. The benchmark KSE-100 Index surged to 110,930 points, maintaining its upward momentum.

Stock market expert Shaharyar Butt, speaking to V News, explained that the market had experienced a significant decline the previous day, following a continuous rise for nine consecutive days, during which the market added 12,000 points. He explained that such a rapid increase usually leaves room for market correction, which occurred in the previous session. Butt added that the market had become overheated, and the leverage position had risen above 51,000 points, contributing to the profit-taking seen in the market yesterday.

However, Butt noted that today’s trading session showed a recovery, with the market bouncing back by over 2,000 points. The index crossed the 111,000-point mark, signaling renewed optimism. He attributed this recovery to the influx of funds into the market, particularly from mutual funds. Butt also mentioned that yesterday’s trading saw a significant buying activity of $10 million, which likely contributed to the upward trend. He further speculated that the State Bank of Pakistan could potentially lower interest rates in its upcoming monetary policy, which would further support the market’s positive momentum.

Another stock market expert, Mohsin Maseed, echoed similar sentiments, stating that the market had undergone a correction the previous day, dipping into the negative territory. However, he pointed out that the market had made a strong comeback and was currently performing well, with expectations that this positive trend would continue in the future.

Maseed also clarified that any legal actions or charges against individuals in the country were not affecting the market’s performance, emphasizing that the stock market was performing in line with expert predictions based on economic factors.

Overall, experts remain optimistic about the market’s future performance, with a strong focus on the flow of funds and potential monetary policy changes, which are expected to drive further growth in the stock market.