Winning Bizness Desk

Mumbai. The Pakistan Stock Exchange (PSX) has achieved a historic milestone, crossing the 100,000-point mark for the first time. According to Dawn, PSX saw a gain of over 900 points on Thursday, closing at 100,216 points. This follows Wednesday's close at 99,269.25 points, reflecting a strong rally over the past two days. On November 26, PSX had dropped to 94,180 points but began rebounding as political tensions eased. The turning point came after the conclusion of Imran Khan's Pakistan Tehreek-e-Insaf (PTI) protests. The rally gained momentum on Wednesday, with a significant surge of nearly 6,000 points recorded over two days. This marks an extraordinary recovery for PSX, which was at around 40,000 points just 16 months ago. The index has surged by 150% in less than two years, reflecting growing investor confidence and optimism in Pakistan’s financial markets.

PSX Could Reach 500,000 Points by 2034

Mohammad Sohail, CEO of Topline Securities, noted the remarkable growth of PSX, which was around 1,000 points in the late 1990s. Over the past 25 years, it has grown 100-fold. He predicted that PSX could reach 500,000 points by 2034, driven by economic reforms and supportive policies. Sohail attributed the market's performance to several factors, including the International Monetary Fund's (IMF) financial assistance and improvements in Pakistan’s economic policies. Additionally, higher-than-expected inflation and interest rates have contributed to stronger market performance.

PTI Protest Ends as Military Disperses Supporters

The surge in PSX is also linked to the conclusion of protests by PTI, led by former Prime Minister Imran Khan. The demonstrations, which had been escalating, ended on Wednesday morning. PTI stated that the government was attempting to suppress their peaceful protest with violent measures, prompting them to call off the rallies. On Tuesday afternoon, PTI supporters gathered at Islamabad’s D-Chowk, a high-security zone housing the Parliament, Prime Minister’s Office, Presidential Office, and Supreme Court. By 8 p.m., Pakistani police and military forces dispersed the protestors, enforcing strict measures to restore order.

The protests had led to clashes between PTI supporters and security forces throughout the day. More than 60 people were injured as tear gas and rubber bullets were used on both sides. The Islamabad administration imposed Section 245, giving the military authority to maintain order and allowing security forces to use lethal force against protestors if necessary.

Investor Confidence Soars

The resolution of political unrest has bolstered investor sentiment, enabling the stock market to surge. With economic stability and ongoing reforms, analysts see the potential for sustained growth in Pakistan’s financial markets despite underlying challenges.