Foreigner investors sell $125m Pakistan stocks

October 25, 2024 (MLN): Pakistan stocks continued to face selling pressure from foreign investors who dumped stocks for the eighth week in a row, the longest streak since mid-2022.

Foreigners dumped $16.4 million of stocks this week, taking the cumulative selling to $124.5m since September 2024.

The persistent selling is due to FTSE rebalancing, which demoted Pakistan from Secondary Emerging to Frontier Market in July.

In the past eight weeks, they have offloaded $29.9m fertilizer stocks, $28.9m oil and gas exploration stocks, and $19.6m bank stocks.

To note, the benchmark KSE-100 Index surged 5.6% WoW to an all-time high of 89,994. It is up 44.1% so far this year.

This selling pressure has largely been absorbed by Mutual funds. They have bought $102.5m shares on a net basis over the past eight weeks.

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