Pakistani market gains 9% due to ceasefire and IMF funds between Indo-Pak, trading for 1 hour
New Delhi:
The impact of India-Pakistan Ceasefire on weekends between India and Pakistan was clearly visible in the stock markets of both countries on Monday. In India, where the Indian Stock Market Major Index Sensex (BSE SENSEX) climbed around 2700 points. At the same time, Pakistan’s Karachi Stock Exchange made a tremendous start and jumped 9 percent.
This boom has come at a time when the atmosphere on the border between the two countries remained tense for the last few days. However, the situation is normal at the moment.
Pakistan market rose by 9%, trading stopped for one hour
At the beginning of trading on Monday, Pakistan’s KSE 100 index rose 9,928 points to 117,104 points. After this tremendous speed, trading had to be stopped for one hour. On Thursday, when India targeted the important defense sites of Pakistan under Operation Sindoor, the KSE 30 fell by 7.2% and the trading stopped.
But the announcement of India and Pakistan ceasefire on the weekend and the bailout package of $ 2.3 billion from IMF returned confidence in Pakistan’s stock market.
IMF Bailout and Ceasefire Relief of Investors
The bailout package received by Pakistan from IMF also gave relief to investors. The bailout passed at the IMF board meeting in Washington on Friday, in which India kept a distance from voting. Experts believe that both ceasefire and financial assistance together helped in bringing positive movement in the Pakistan market.
Boom in Indian stock market, Sensex crosses 82,000
In India too, the stock market started a tremendous start on Monday. The Sensex rose by about 2600 points to cross 82,000, which was the biggest jump in the last seven months. The Nifty was also seen trading at 24,849 with a gain of 841 points. The value of investors increased by about Rs 12 lakh crore.
Investors have returned due to peace on the border between Indo-Pak, cut in tariffs between the US-China, and positive signals from the global market. Apart from this, India’s recently received credit rating upgrade was also a major reason for the market strength.
Pakistan’s stock market gave great returns last year
Although the market of Pakistan was under pressure due to recent tension, the Pak market gave the best return of 22 years last year. In a year, the KSE 30 index saw a 33 percent increase. In such a situation, now when the situation is becoming normal, investors are seen to be active again.