PakStox Outlook

Pakistan Stock Exchange (PSX) maintains its bullish momentum. Just two weeks ago, the KSE 100 Index soared to a record high of 67,000. Today, it breached another critical level, closing at a historic 70,314. The KSE 100 gained an impressive 695 points today, representing a 1% increase. Intra-day, the index surged to a high of 70,677, marking a rise of over 1,000 points. In the current month, with only six trading sessions completed, the KSE 100 has already accumulated significant gains of 3,310 points, translating to nearly 5%. Year-to-date, the index boasts an impressive 8.74% increase, and its one-year return surpasses a remarkable 76%. It's important to note that the KSE 100 is a total return index, factoring in cash dividend payouts. Fauji Fertilizer (FFC) was the biggest driver of today's KSE 100 surge, contributing a significant 217 points to the index's 695-point gain. FFC, with a 4.42% weighting in the index, surged roughly Rs 10 per share and closed at the upper li...

Gold has surged by over 17% since mid-February this year, in just around 50 days. The ascent has been consistent, with minimal retracements, and it has now reached historic highs of over $2300 per ounce. Yesterday, a news report revealed that China’s central bank continued its gold purchasing streak for the 17th consecutive month in March, contributing to the precious metal's record surge. This makes sense, since it is typically, it's central bank buying or selling that triggers significant movements in gold prices. Previously, gold futures had reached a high of nearly $2100 in August 2020. This move was in line with the declining trend in US 10-year bond rates, which plummeted to their lowest point in a decade, dipping below 1%. In consequence, gold rose and reached a historic high.  However, starting in August 2020, interest rates began to climb, eventually US 10 year note surpassing 4% over the next two years. During this time, Gold experienced a consistent decline, falling ...