Pakistan stock market saw a mixed week as Karachi stock exchange-100 index fell by 41 points during the last week.The profit-taking by investors, and political uncertainty were two important factors affecting the investing behaviors of stock market traders at the Pakistan stock market.The Karachi stock exchange -100-index started the week at the 41105 points and ended the week at 40064 points.The weekly trading volume showed an increase of 13 % during the week.
The interest of the Foreign investors diminished during the week. Foreign investors sold net equities of $ 31 million during the week.
The market analysts at Money and Matters are expecting a negative sentiment at the Pakistan stock market.The uncertain future of the PML-n government will dictate the economy and capital markets of the country. The uncertain future of the international oil market is another important factor affecting the Pakistan stock market.
The former prime minister Nawaz sharif and his family is using delaying tactics to influence the final outcome of its corruption-related cases.The Finance minister Ishaq Dar has left Pakistan and is also using delaying tactics to influence the final outcome of his corruption-related cases.The PML-N government must take bold steps to replace Ishaq dar with another finance minister to ensure a smooth working of the finance ministry.According to the IMF, Pakistan needs $ 18 billion next year to finance its debts and interests.All the above-mentioned factors are painting a very bleak picture of the economy and are badly affetcing the investing behaviors of local and foreign investors.
The Karachi stock exchange-100 index is currently hovering around 40000 points and facing a very strong resistance at this level.This is the perfect time for the value investors to pursue their long-term strategy.