The Pakistan Stock Exchange (PSX) recorded gains on Tuesday, with the KSE-100 index closing at 57,371.58 points, up 0.51% from the previous close. Last week, the index hit an all-time high on the back of an agreement between Pakistan and the International Monetary Fund (IMF). The agreement paves the way for the disbursement of a $700 million loan tranche, subject to approval from the IMF’s Executive Board on Dec 7. Intermarket Securities’ head of equity Raza Jafri said valuations remained cheap despite the market’s recent rally, while First National Equity chief executive Ali Malik attributed the rally to a positive economic outlook and high expectations regarding the IMF board’s approval. Malik noted that Pakistan’s trade deficit has decreased, exports have increased, and shares are trading at a low price-to-earnings ratio. He also mentioned that asset replacement value has risen, making the market very cheap, especially for big industries.
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