Pakistan Stock Exchange (PSX) witnessed a bullish trend on the first trading session of the week. KSE-100 index has now crossed the much-awaited psychological level of 40,000.
The index closed at 40,030 points, making this the first time in the history of the country this milestone has been reached. The index was helped by sustainable inflows of foreign and local investments from equity traders in different sectors.
KSE-100 index made an all-time high record at 36,800 back on May 18. It reached the next record of 39,000 points on July 12. And now, just after one month, the benchmark made history after crossing the 40,000 points barrier.
The bullish trend at the Pakistan Stock Exchange (PSX) was triggered after Pakistan was included in the Emerging Marketing Index by Morgan Stanley Capital International (MSCI), the US equity indices provider.
The MSCI Pakistan Index will be reclassified to emerging markets status, coinciding with the May 2017 semi-annual index review. PSX will be inducted in the EM Index in June 2017.
As predicted after the announcement, the stock exchange witnessed inflows of portfolio investments from foreign and local markets which kept the benchmark index continue to make records with the bulls in full charge.
Besides, sustainable improvement in the macro-economic indicators along with a better security situation in the country has made Pakistan’s stock market attractive for foreign equity investors. It is also considered as one of the best stock markets in Asia.