The government's implementation of its circular debt elimination plan has triggered a surge in the stock market and boosted investor confidence.
Pakistan Stock Exchange (PSX) opened the week on a strong note Monday, with the benchmark KSE-100 Index surging by nearly 900 points to cross the 142,000 mark for the first time in history.
The market opened with a 927-point jump, continuing its upward momentum from last week when it closed at a then-record high of 141,035 points. By 11am, the index had risen by 877.43 points or 0.62%, reaching 141,912.41. It later surpassed the 142,000 milestone, setting a new benchmark for the stock exchange.
Bullish trend continues as kse-100 breaks records
The rally was led by heavy buying in key sectors, including commercial banking, oil and gas exploration, refineries, power generation, and OMCs. Major gainers included index-heavy stocks like OGDC, PPL, POL, MARI, PSO, HBL, MEBL, and NBP.
Trade deal with us lifts investor confidence
Market analysts attributed the strong performance to optimism following the announcement of a new trade deal between Pakistan and the United States. The agreement promises lower tariffs on Pakistani exports, which is expected to ease pressure on the current account and stimulate economic activity.
The breakthrough in trade ties, combined with improving macroeconomic indicators, has strengthened investor sentiment, leading to aggressive buying across the board.
Global cues mixed but psx defies trend
Internationally, Asian markets followed Wall Street’s downward trend after disappointing US payroll data and renewed fears about the American economy. However, despite global uncertainty, the PSX defied the broader trend due to its internal positive triggers.
While the US dollar weakened and oil prices dipped, the KSE-100 Index continued to climb, showcasing resilience and local investor focus on domestic fundamentals and trade prospects.
