Updated on
Summary
The foreign portfolio investment (FPI) at the Karachi Stock Exchange breached $100 million mark in March, which is the highest monthly inflow in the current financial year.Despite security concerns and energy crisis prevailing in the country, the Karachi Stock Exchange (KSE) attracted net buying of $100 million so far during the current month. Foreigners have flooded the local stock market in recent weeks.According to Topline Securities analyst Farhan Mahmood, the increasing role of foreign trade can be judged from the fact that their share in the total volumes in March 2010 was 15 percent as compared to the average 9 percent in 2009.Foreigners remained net buyers in Pakistan in the last 10 months with total net inflow of $419 million since June 2009 with benchmark index gaining 38 percent (33 percent in dollar) in these 10 months. Historically it has been seen that every year there is one month in which foreign buying (net of selling) has breached the $100 million mark. However, unlike previous trend, KSE index is up only 5 percent this month although it crossed 10,000 points mark after 18 months.
