The Pakistan Stock Exchange (PSX) experiences a downturn as the KSE-100 Index faces selling pressure, dropping over 400 points during trading on Tuesday. At 1:35 pm, the benchmark index hovers at the 65,550.95 level, marking a decrease of 400.77 points or 0.61%. Notably, index-heavy stocks such as OGDC, PPL, PSO, and SNGPL trade in the red, reflecting widespread selling activity.
Market analysts attribute the selling pressure to investors engaging in profit-taking amidst recent positive momentum. Meanwhile, Pakistan’s newly elected Prime Minister, Shehbaz Sharif, directs immediate talks with the International Monetary Fund (IMF) concerning the Extended Fund Facility (EFF). He emphasizes the need for an emergency action plan to enhance the country’s economic situation, affirming the economy as the government’s foremost priority.
Experts anticipate a key objective of the new government to negotiate a fresh IMF Programme, underscoring the significance of economic reforms. Previously, bullish momentum prevailed at the PSX as investors reacted positively to the formation of the new government, with the KSE-100 Index closing at 65,951.72, marking a significant increase.
Globally, Asian markets witness mixed performance, with declines attributed to China’s five percent annual growth target and cautious sentiment ahead of crucial US economic indicators. Despite Japan’s Nikkei index hitting a record high, markets remain subdued as China aims for moderate growth, deviating from its previous double-digit expansion trajectory.
