The Indian market has been falling continuously for the last several weeks. If we talk about just 7 weeks, investors lost Rs 50 lakh crore in the Indian market. However, meanwhile, the stock market of India’s neighboring country Pakistan (Pakistan Stock Exchange) is at its peak. On November 14, the Pakistan Stock Exchange (PSX) 100 Index had crossed the 93,000 mark. Let us know what are the reasons behind this.
what is the current situation
According to The Dawn report, Pakistan’s stock market fell by 143.20 points early on Monday and the index reached 94,620.45. But, later the market gained momentum and the index increased by 544.27 points to reach 95,307.92. By the time the market closed, the index reached 94,995.67, which shows an increase of 232.03 points compared to earlier.
What is the reason behind the boom?
Speaking to Pakistani news website The Dawn, Mohammad Sohail, CEO of Topline Securities Limited, says that the IMF statement has boosted investor confidence. Apart from this, local mutual funds are buying heavily on Pakistan Stock Exchange (PSX). Their net purchases in the last two and a half months have been Rs 40 billion.
Due to this, the index of mutual funds PSX saw an increase of 20%. Apart from this, investors are also looking forward to the increase in foreign exchange reserves of SBP, reforms in public sector companies, new agreements with IPPs, Finance Minister ruling out the possibility of mini-budget and positive meetings with IMF besides IMF’s $7 billion loan to Pakistan. The approval is also the main reason for the rise in Pakistani stock market.
Indian market is falling due to these reasons
The Indian market has been falling continuously since the last week of September. There are many reasons for the decline in the market. Not only is the selling of foreign institutional investors (FIIs) a major reason for this, apart from this, the feeling of negativity has increased in the Indian market due to the increasing tension in the Middle East and weak quarterly earnings reports of Indian companies.
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Also read: Rs 50 lakh crore lost in share market, these 5 mistakes made during trading make investors poor.
