Rally in Pakistani Stocks Amid Prediction of Good Results

The Pakistan Stock Exchange is touching All Time High index these days. The bullish trend started after the news of inclusion of Pakistan in Emerging Markets. Further, sources claim that the money from real estate investments is also dumping in stocks.

Pakistani Stock Exchange (PSX), formerly known as Karachi Stock Exchange, was founded on August 14, 1947. PSX has more than 550 companies on the board and millions of shares are traded each day. More companies like The City School, TCS Pakistan, BAKRI Petroleum are planning to enter this market soon. The new entrants throough IPO will have a positive impact on the stock market.

The result season has started and with the hopes of good dividends. It has resulted in more volumes these days. Most of the volume leaders are blue chip stocks from cement, oil and gas marketing and power generation sectors.

The prices of shares have seen a mix of bullish and bearish trend. With the sharp decline in crude oil prices, the prices of oil marketing and exploration companies dropped significantly. Later, with the come back in crude oil prices worldwide, prices of stocks from oil sector have seen a jump from 52 week lower side to even a jump of 50% upside within weeks.

Some sources claim that the current rally is due to diverted money from the real estate sector. The real estate investors have also chosen Stock Exchange for the time being.

However, amid all the ups and downs, most of the companies listed on stock exchange have a good history of payout. For example, banking sector has paid good dividend in history and paying it too this year.

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