Foreign investors withdraw $7.5m from equity market
Sunday, 15 November 2009
KARACHI, Nov 14 (Business Recorder): An outflow of 7.5 million dollars of foreign portfolio investment from the local equity market was witnessed during the outgoing week ended November 13, 2009.
Analysts said that the prevailing political situation in the country couple with security concerns forced the offshore investors to off-load their holdings during the week.
However, they are optimistic that foreign investors' interest in the local equity market could revive with improvement in political and law and order situation in the country. "The local market is much attractive in the region due to cheaper values and foreign investors can come back if the situation is improved," a leading analyst said.
The outgoing week was of four working days, as the market remained closed Monday on account of Allama Iqbal Day. On Tuesday, a negative trend was witnessed as the foreign investors withdrew 1.62 million dollars from the local equity market. This trend continued with a heavy outflow of 4.59 million dollars Wednesday.
The situation slightly improved Thursday, as the offshore investors remained net buyers of shares worth 1.13 million dollars.
Analysts said that the prevailing political situation in the country couple with security concerns forced the offshore investors to off-load their holdings during the week.
However, they are optimistic that foreign investors' interest in the local equity market could revive with improvement in political and law and order situation in the country. "The local market is much attractive in the region due to cheaper values and foreign investors can come back if the situation is improved," a leading analyst said.
The outgoing week was of four working days, as the market remained closed Monday on account of Allama Iqbal Day. On Tuesday, a negative trend was witnessed as the foreign investors withdrew 1.62 million dollars from the local equity market. This trend continued with a heavy outflow of 4.59 million dollars Wednesday.
The situation slightly improved Thursday, as the offshore investors remained net buyers of shares worth 1.13 million dollars.