Declining Rupee puts stocks under pressure
Friday, June 1st, 2012 12:46:34 by Fayyaz Yaseen
Declining Rupee puts stocks under pressure
Islamabad: (Thursday, May 31, 2012) With the investors panicked by the sustained decline in Pakistani rupee versus US dollars, stocks at the main markets observed bearish trends and fell significantly. Explaining the phenomenon,
investors said that the buyers were concerned by the depreciating rupee.
Perhaps that was the reason that an otherwise established Karachi Stock Exchange that was experiencing a bullish trend, gone significantly down – pulling the Karachi Stock Exchange (KSE) benchmark 100-share index down by 0.61 per
cent or 85.13 points.
Moved by this panic among the investors, the Karachi stock market closed at 13,786.62 points with a shares volume of 92.2 millions as compared to Wednesday’s 13,871.75.
Explaining the reasons behind low level of buying interest among the investors, a dealer said, “Falling global markets and (the) weak local currency kept investors on the sideline. As a result of this, (the) market remained in
a narrow band with low volumes.”
The rupee, that has been under pressure for past many days, continued to lose its value against dollar and posted fourth consecutive record low in as many days. As compared to Wednesday’s rates of 93.44/52, the currency closed
at 93.57/63 today.
Short URL: https://www.newspakistan.pk/?p=24439
Posted by Fayyaz Yaseen
on Jun 1 2012. Filed under Pakistan.
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