KARACHI: Investors are engaged in heavy trading as the market opened on Friday, especially on the back of clarity following the Supreme Court’s Panama Leaks case ruling on Thursday.
The KSE-100 Index has risen 1.39% (679 points) to 49,422 points, as of 11:28 AM local time.
Now that fears of Prime Minister Nawaz Sharif being disqualified have abated, the stock market has turned bullish with almost 86.4 million shares being traded, as of the aforementioned time, in transactions valued at approximately Rs. 9.7 billion.
In what was probably the most-anticipated verdict in Pakistan, the Supreme Court yesterday ordered further investigations into the corruption allegations made against the PM by the opposition and added that there was insufficient evidence to order his removal from office.
The Supreme Court also required a Joint Investigation team (JIT) to be formed to carry out this investigation.
In this regard, Topline Securities market analyst Muhammad Sohail said that yesterday’s ruling has bumped up the market’s confidence. “The concerns have vanished now,” he added.
Despite today being the week’s last business day, trading continues without any fears. “A positive impact is quite likely after [the ruling] yesterday,” explained Muzammil Aslam, CEO of Invest & Finance Securities Limited.
Coupled with Pakistan officially regaining its MSCI Emerging Markets status in May 2017, Aslam added the Panama case verdict has made investors hopeful for the future. “The market is looking beyond those concerns now,” he stated.
The KSE-100 Index closed up 2.39% (1,140 points) at 48,787 points on Thursday, slightly normalising after a peak addition of almost 1,900 points right after the Panama case verdict was announced.
Against yesterday’s low, the benchmark index gained almost 1,600 points, marking the longest stretch in a day.