Relentless PSX surges past 60,000 milestone

The benchmark of major shares galloped higher on Tuesday, crossing the psychological barrier of 60,000 points for the first time in history. Speaking to Dawn, Topline Securities Ltd CEO Mohammed Sohail said the rally in stock prices witnessed since the beginning of 2023-24 has been one of the fastest in the last two decades. One of the key reasons for the steep rise in share prices is unusual foreign buying. Dollar inflows, especially from overseas corporate investors, have helped sustain the rally that has tossed the index up by more than 38 per cent in the last five months alone. For perspective, net foreign investment in the stock market since the beginning of July has been $36 million versus only $2.5m recorded in the preceding January-June period. Of all PSX-listed shares worth roughly $30 billion, holdings by foreign investors currently account for $1.3bn or 4.3pc. “Despite incessant foreign buying in recent months, their holdings in the PSX are still nowhere close to the level of 2017,” he said. The value of all PSX-listed shares in 2017 hovered around $100bn when foreign investors controlled a share of roughly 10pc or $10bn at the time.