The Pakistan Stock Exchange (PSX) broke its one-day-old record as trading volumes touched an all-time high for the second successive day on Thursday at 2.22 billion shares, led by WorldCall Telecom. The turnover was 42% higher than Wednesday’s volumes of 1.56 billion shares. “Another record-breaking rally was witnessed at PSX for second consecutive day,” the PSX said on its Twitter handle.
“Highest-ever volume of 2.5 billion shares (including on futures counter) was traded in a single day.” Excellent corporate results, shareholder value, government policies and initiatives built investor confidence and positive sentiment, which drove the historic performance at the bourse, it said the other day. Experts said that the outstanding growth in volumes indicated rising investor confidence in the market and the national economy.
“Volumes are the strength of the market,” remarked a leading stockbroker. Increased sales of products by listed companies and a growth in their net profits have encouraged investors to accumulate lucrative stocks of such firms. “Prevailing share prices are attractive keeping in view the growth in sales and profit margins of different companies,” he said.
Top 100 companies, which were part of the benchmark KSE-100 index, posted a three-year high growth of 23% in sales of their products in March 2021 compared to 19% in the same month of previous year, according to AHL Research.
Published in The Express Tribune, May 28th, 2021.