Stock prices on the Pakistan Stock Exchange (PSX) rose on Friday after Morgan Stanley Capital International (MSCI) added 15 stocks to the Frontier Market Index.
The MSCI Frontier Markets Index captures the representation of large and mid-caps in 28 Frontier Markets (FM) countries. The index consists of 99 constituents, covering approximately 85% of the free-float adjusted market capitalization in each country.
The benchmark KSE-100 index rose 702.01 points, or 1.47 percent, to 48,510.35 points in intraday trade at 10:19 am after touching a high of 48,898.82 an hour earlier.
In its quarterly review, 41 stocks found their place in the MSCI Frontier Markets Small Cap Index, with Pakistan’s weighting expected to increase significantly – up from its current 0.6% to 2.6% to 2.7%.
The report notes that capital inflows from foreign investors have been added to increase – and foreign investment in the equity market has increased to $22.8 million since the start of the financial year 2023-24.
“The market is bullish due to increase in MSCI index participants from Pakistan and weighting,” Samiullah Tariq, head of research at Pakistan-Kuwait Investment Company, told JEE News.
