KSE-100 Index Surges Past 121,000 Points as Investor Confidence Soars on Positive Economic Signals
Key Takeaways:
1. The KSE-100 Index closed at a historic high of 121,799 points amid strong investor confidence.
2. Positive signals from IMF talks, budget expectations, and ADB’s $800 million package spurred the rally.
3. Trading volumes and market capitalization saw significant increases, with broad-based gains across key sectors.
Karachi, Pakistan – The Pakistan Stock Exchange (PSX) soared to a new all-time high on Wednesday, driven by robust investor optimism over the upcoming federal budget and encouraging developments in talks with the International Monetary Fund (IMF). The benchmark KSE-100 Index jumped 1,348 points, closing at a record 121,799 points, up 1.12% from the previous day.
Market activity remained vibrant throughout the session, with the index peaking at 121,882 points during intraday trading. The bullish momentum was underpinned by strong buying from local and corporate institutions, as well as positive news on government efforts to abolish certain sales taxes and provide relief on provincial power tariffs.
According to analysts, the rally was further fueled by the Asian Development Bank’s (ADB) approval of an $800 million financing package to support the rupee and a 10% year-on-year increase in petroleum product sales in May. Rising cement exports also contributed to the upbeat market sentiment.
Trading volumes surged, with 710.59 million shares changing hands and the total traded value climbing to Rs 35.22 billion. The overall market capitalization expanded by Rs 156 billion, reaching Rs 14.75 trillion. Out of 475 actively traded companies, 264 saw gains, while 170 posted losses.
Heavyweight stocks such as NBP, BAHL, SYS, LUCK, and MCB were key drivers, collectively contributing 586 points to the KSE-100’s upward movement. Sui Southern Gas led the volume charts, followed closely by Fauji Foods Ltd and K-Electric Ltd.
Sector-wise, commercial banks, oil & gas, and technology stocks posted significant gains, reflecting broad-based investor confidence. However, the automobile assembler index saw a slight decline, and a few companies, including PIA Holding Company Limited and Khyber Textile Mills Limited, faced notable losses.
Market experts attribute the rally to growing optimism about the government’s economic direction, especially as Prime Minister Shehbaz Sharif signals progress in IMF negotiations and the budget aims to support business growth and currency stability.
