The Pakistan Stock Exchange (PSX) made history on Tuesday as the benchmark KSE-100 Index closed at an all-time high of 143,037 points.
In a remarkable show of investor confidence, the KSE-100 Index gained 1,222 points during intraday trading, peaking at an unprecedented 143,281.34 before settling at 143,037.16 by the closing bell. This marks a 984-point increase—or a 0.69% gain—from the previous session.
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Trading volumes remained strong, with over 550 million shares exchanged, amounting to a total value of Rs 37 billion. The rally extended the bullish momentum from Monday, when the index had already climbed 1,017 points to end at 142,052.65.
Why investors are bullish on PSX
Market analysts attributed the strong upward trend to several factors, including:
- Positive developments in Pak-US diplomatic relations
- Strong corporate earnings expectations
- Optimism over macroeconomic indicators
- Rising global equity trends and interest rate expectations
Brokers noted that the positive economic sentiment has encouraged both institutional and retail investors to take positions in index-heavy sectors.
Sectors leading the rally
Key sectors pushing the index upward included:
- Commercial banks (e.g., MCB, MEBL, UBL)
- Automobile assemblers (e.g., INDU)
- Cement and fertiliser stocks
- Oil Marketing Companies (OMCs)
- Gas sector (notably SNGPL and WAFI)
- The consistent flow of buying activity throughout the trading session reflects a broader market belief in continued economic stability and growth.
Global cues support local momentum
Internationally, Asian stock markets saw a second straight day of gains. MSCI’s Asia-Pacific index outside Japan rose 0.6%, and Japan’s Nikkei climbed 0.5%, rebounding from Monday’s losses.
Meanwhile, in the US, stocks rallied following positive earnings results and speculation that the Federal Reserve may cut interest rates in September. The CME FedWatch tool now shows a 94% probability of a rate cut next month—up from 63% just a week ago.
