No straight path for markets
Consolidation after rapid advance does not invalidate investment case
Pakistan stock market's extraordinary rally from around 40,000 to beyond 180,000 in 2.5 years from June 2023 to January 2026 reflected improving fundamentals (from low 3.5x price-to-earnings (P/E), liquidity (rate cut from 22% to 11.5%), sentiment and diplomatic goodwill. Much good news arrived – and was priced in remarkably quickly. After roughly eight frustrating months, investors are questioning equities and eyei...