Pakistan Stock Exchange continues to flourish as the index crossed 41,000 points landmark for the first time ever on Monday. The index surged by mammoth 473.55 points as the market tally surpassed the 41,000 points landmark; thereby creating history.
It can be safely said that the news, which broke yesterday regarding Shanghai Stock Exchange interest in acquiring some stakes of Pakistan Stock Exchange (PSX), had a positive influence on the overall market. The story was published when the Managing Director of PSX, Nadeem Naqvi stated:
“By late August, early September expressions of interest were received, including from Shanghai Stock Exchange”
In regard to the aforementioned statement, it is reported that 17 companies have expressed interest in buying PSX’s stakes. According to one of the members of PSX, this news may have positive impact and could lead to further improvements in the coming days.
Heavy participation during September
Substantial amount of participation was witnessed during the month of September in mid-tier stocks. As a result, the volumes for Karachi Stock Exchange (KSE) shares touched its decade high of 560 million shares.
Moreover, international investor also pulled out of the market and sold their equities. The estimated worth of their equities which foreigners sold were $41.3 million as compared to $20.4 million in August 2016. As far as the statistics of this week are concerned, the total amount of equities withdrawn was $8.6 million.
Pakistani shares are currently trading at an all-time high which is helped by an improving economy. The bourse’s market capitalization from 558 listed companies is whopping $77 billion.
Aqeel Karim Daddy (AKD) Securities said in a statement:
“Going into October 2016, political risk is likely to come into play where any flare-up both at home and across the border can exert pressure”
Do you think Shanghai Stock Exchange would eventually buy some stakes of Pakistan Stock Exchange in the upcoming days?