Pakistan stocks near record high in a decade: Bloomberg
Business
Robust foreign inflows, improving macro-economic indicators boosted sentiment
Pakistan's stock market has been one of the best performers globally this year
(Web Desk) - Stocks in Pakistan closed near their record high on Thursday as robust foreign inflows and improving macro-economic indicators boosted sentiment, Bloomberg reported.
Pakistan Stock Exchange’s benchmark KSE-100 index gained 1.1% to close just shy of the previous record of 81,865.10, after touching a new high earlier in the day.
The gauge has risen more than 30% this year, aided by foreign investors’ net purchases of $87 million in local shares, the highest since 2014, data compiled by Bloomberg showed.
Pakistan’s stock market has been one of the best performers globally this year, buoyed by improving economic outlook and a crucial initial loan deal with the International Monetary Fund in July.
In recent months, the nation’s current account balance has improved, and the central bank has slashed interest rates as inflation is easing.
However, there are risks in going forward. Pakistan was downgraded to a frontier market status from secondary emerging market by FTSE Russell in July. The decision will come into effect from Sept. 23.
