The equity market kicked off the week on a strong note, with the PSX crossing the 133,000 mark for the first time ever during intraday trading. The rally was driven by optimism surrounding trade negotiations, macroeconomic stability, and a positive earnings outlook.
The benchmark KSE-100 Index surged to an intraday high of 133,552.28, up 1,603.22 points or 1.22%, while the session’s low was recorded at 132,467.12, reflecting a 518.06-point gain or 0.39%.
“Momentum is being fueled by hopes of a tariff deal and sustained market optimism.
We’ve broken through several technical highs, and with earnings season approaching, the rally is gaining further strength,” said Ahfaz Mustafa, CEO of Ismail Iqbal Securities.
Investor sentiment remains buoyant amid falling inflation, strengthening foreign exchange reserves, and renewed capital inflows.
Analysts anticipate the positive momentum will continue, supported by a shift in investment from fixed income to equities due to higher taxation on alternative assets and lower yields.
The PSX ended FY25 as the region’s best-performing market, delivering a 60% total return.
That momentum has carried into FY26, lifting the KSE-100 Index into uncharted territory.
Average daily traded volumes (ADTV) surged by 31% WoW, indicating heightened investor participation.
The rally has been underpinned by macroeconomic confidence.
Pakistan secured $3.4 billion in Chinese rollover and refinancing, alongside another $1.5 billion from Middle Eastern lenders and multilateral partners.
The rally has been underpinned by macroeconomic confidence.
Pakistan secured $3.4 billion in Chinese rollover and refinancing, alongside another $1.5 billion from Middle Eastern lenders and multilateral partners.
The State Bank of Pakistan’s (SBP) reserves stood at $14.51 billion as of June 30.
Inflation data reinforced bullish sentiment. The Consumer Price Index (CPI) for June slowed to 3.2% YoY, bringing FY25’s average inflation to 4.5%, a steep fall from 23.4% in FY24.
This opens room for potential interest rate cuts, enhancing the investment case for equities.
#PSX #Surges #Mark #Trade #Optimism #Improved #Market #Sentiment
