The KSE-100 Index of the Pakistan Stock Exchange (PSX) has increased by approximately 600 points on the first day of 2023 due to fresh confidence in intraday trade.
From the first hour, a buying frenzy swept the market pushing the KSE-100 Index beyond the 41,000-point threshold. The KSE-100 Index was up 582.46 points or 1.44 percent at 2 pm hovering around 41,002.91 points.
In the final session, the benchmark index increased by 673.09 points or 1.69 percent to help the market end 2022 on a high note. This helped the index conclude at 40,420.45.
The energy sector scrips were the main drivers of Monday’s surge since the market anticipates the government unveiling a number of initiatives to reduce circular debt.
Earlier this month prime minister Shehbaz Sharif gave the Petroleum and Finance Divisions the task of creating a master plan to decrease the circular debt of the gas industry by 70 percent from its current level of Rs1.6 trillion to Rs500 billion.
The Pakistani government then established a group to address the growing issue.
According to statistics, January is often the greatest month of the year since businesses dedicate new funds for investment in the market, market experts said on Monday.
Additionally, the Christmas season has passed and investors are returning to the equities market. Investors have been anticipating that the government would take action to decrease the circular debt which is why energy-related companies had a surge.
