KSE-100 index falls another 900 points despite IMF deal

The KSE-100 index maintained a steady downward trajectory throughout the day.

KARACHI (Dunya News) – The Pakistan Stock Exchange (PSX) benchmark KSE 100-share Index has dropped to a 33-month low below 33,800 points on Monday despite of the fact that stocks are available at critically cheap values but buyers are rarely present.

At the end of trading, the benchmark KSE 100-share Index recorded a decrease of 900 points to settle at 33,800 points.

Earlier today, the index rose to 35,135 points with an increase of 418 points, however negative trend later dominated the market.

Previously, the index was at 34,326 points. The KSE-100 index maintained a steady downward trajectory throughout the day.

According to analysts, Pakistan’s current state of economy is alike ‘a patient admitted in intensive-care unit (ICU) for treatment.’

However, a few people are optimistic that this will be a transitional phase towards good days, but for now high inflation, low industrial and agricultural output, unemployment and poor corporate earnings all are reflecting poorly on the PSX.

Pakistan is believed to have adopted stringent demands under the International Monetary Fund (IMF) bailout package.

According to economists, the PTI-led government will need to perform vigilantly and persistently to recover from the economic crisis.

Another factor that has affected the PSX was a delay and uncertainty about the loan package as investors remained on the sidelines and the volumes stood low before the agreement was reached.

Earlier, in a surprise move, the government had changed the central bank governor and the Federal Board of Revenue chairman.