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Pakistan stock market, Mount as Indo-Pak border tension to see the worst month since 2023

The performance of the dollar bond shows a decline of about 4% this month. (AI image)

Pakistan’s dollar bonds and equity have been moving towards their poorest monthly performance since 2023, affecting investors’s confidence due to increasing India-Pakistan tension.
The performance of the dollar bond shows a decline of about 4% this month, while equity has decreased by about 3%. In contrast, Indian property is relatively unaffected, showing positive returns this month with both shares and domestic bonds.
According to a Bloomberg report, in April, Pakistani equities have shown a weak performance compared to the regional markets, while the rupee and dollar bonds have declined between a possible conflict with India.
Pakistan Information Minister Attaula Tarar on Wednesday claimed that India would start military operations within 24 to 36 hours, saying that Pakistan would “reassure and decisive”.

Pakistan stock market

Pakistan stock market

After the terrorist attack on 22 April in Jammu and Kashmir region, relations between these nuclear-city nations deteriorated, resulting in 26 casualties.
“The approach in the near period is uncertain and therefore we can expect a little weakness at the near period,” said Thomas Haggar at the Asia Frontier Capital Limited in Hong Kong, moreover, the US tariffs are an overhang. “
“Stress reduction will naturally reduce investors’ concerns about the potential deteriorating of delicate relations between the two countries, possibly leading to a slight advantage in bonds and equity markets,” said Haggar.
Also read Foreign investors returned to Indian equity with $ 4.11 billion! FPIS increases the longest purchasing competition from July 2023
Prior to this development, Pakistan’s investment approach was becoming more positive, supported by better credit ratings and fall in oil prices. Bloomberg’s report stated that the stock market recorded its strongest annual performance in 22 years, leading to an additional increase in additional increase in the country’s economic activities.
“The recent decline in bond prices presented favorable investment opportunities,” a note was written by Avanti Save, head of Asia Credit Research and Strategy at Barclays Bank PLC. She continues to maintain overweight space on the country.

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