By noon the benchmark 100 indexat the Pakistan Stock Exchange (PSX) was flirting with the 49,700 level, gaining 241 points. Volumes, however, were low as only 10 million shares had exchanged hands by then.
“With these volumes crossing 50,000 seems difficult," says Taurus securities researcher, Komail Chevelwalla, but he thinks the market sentiment is positive as Chinese management would soon take control of the market.
Currently mutual funds are providing liquidity to the market, but after 20th March FTSE global will include six PSX companies which will bring some more liquidity and May onwards inclusion in MSCI’s emerging markets would bring further liquidity.