Markets rally as the benchmark index jumps over 750 points at the open over election results trend

The market has overwhelmingly responded to the results of the General Elections 2018 as the index opened up more than 750 points above the previous closing of 41,339 points in the previous pre-election trading session.

Pakistan Tehreek-e-Insaaf (PTI) leads the general elections by a higher margin than what was expected of it and as a result, expectations are flying high at the moment as the benchmark index makes fresh gains and opens above the 42,000 points psychological barrier.

Analysts are looking forward to the kind of policies that the market can expect in the first 100 days of the new government that could shape the direction of the path that our ailing economy could be put on. Economic problems have been quite worrisome as the continuous decline in foreign exchange reserves and external debt payments remain some of the key issues that the new government would have to tackle on an urgent basis.

The index value has dropped compared to the opening trades but remains about 449 points above the previous closing, currently trading at 41,786 points, a rise of about 1.09%.

Intraday High so far has been recorded at 42,136 points, close to the opening value, while the intraday low has been recorded at 41,339 points, close the closing value of the last session.

About 64.3 million shares have been traded so far in the 100 index, while volume in the broader KSE All Share Index stands at about 112.6 million at the moment, much higher than the average volumes in the index.

Within the 100 index, Commercial Banks are leading the way, followed by Oil and Gas Exploration Companies, Fertilizer companies, and Cement companies, in that order, as of now.

Refinery Companies and Leather and Tanneries are the only two sectors that are in the red so far, as BATA loses 17.10 points, or 0.89%, the largest drop, in rupees, so far in the 100 index.

In the forex interbank market, PKR has appreciated by about 25 paisas since Monday’s closing at PKR 128.50 per dollar, and by 5 paisas since Tuesday’s closing at PKR 128.30. Currently, the interbank rates are being quoted at 128.22/128.25.

Opening trades were quoted at PKR 128.25/128.29 while the low was quoted at PKR 128.13/128.17.