Kolkata: After three days of continuous rise, KSE 100, the equity benchmark index of Karachi Sock Exchange opened in the red on Wednesday, May 14. The index stood at 118,490.81 points, down 105.28 points, or 0.09%, in early trade, according to Bloomberg data. The official website of the Karachi Stock Exchange was still unreachable on Wednesday.
Significantly, KSE 100, the equity benchmark index of Karachi Stock Exchange jumped by more than 2% on Tuesday, May 13, pushing close to the all-time peak. The day’s high of the index was recorded at 119,828.88 which was more than 2.4% over the closing level on Monday, May 12. According to reports, KSE moved up a monumental 15% in the last three trading sessions. The 52-week high level of the index is 120,796.67.
Ceasefire and IMF package the trigger
Apart from the ceasefire following Operation Sindoor, when India struck at terrorist sites in PoK and elsewhere in Pakistan following the killing of 26 innocent civillians in Pahalgam on April 22, the other factor that buoyed investors in Pakistan was the approval of a $1.4 billion loan by International Monetary Fund.
Reports also indicated that the despite the euphoria triggered in the Pakistan stock market and the rise of the KSE 100, the total market cap of the Karachi Stock Exchange was almost an insignificant fraction of the Indian stock market. While the cumulative market capitalisation of Pakistan Stock Exchange stood around Rs 14.5 lakh crore, on Monday, May 12 investor wealth in BSE surged by Rs 16.06 lakh crore in a single session, following the ceasefire.
Chinese defence stocks
On the other hand, Chinese defence stocks which were trading lower on Tuesday, were trading in the green on Wednesday. Stock prices of AVIC Chengdu Aircraft and China CSSC Holdings or China State Shipbuilding Corporation, both major military hardware producers were trading in the red on Tuesday, which was linked to the word going around that Pakistan which was the biggest buyer of China’s defence equipment and fighter jet aircraft had suffered reverses at the hand of India in the four-day hostilities.
Investors in Pakistan The Karachi Stock Exchange celebrated the ceasefire between India and Pakistan after four days of hostilities with a straight three days of the benchmark index KSE 100 going up. Markets Business News – Personal Finance News, Share Market News, BSE/NSE News, Stock Exchange News Today
