The Pakistan Stock Exchange (PSX) continued its record-breaking performance on Wednesday, with the KSE-100 index reaching a new all-time high of 86,940 points during intra-day trading. This surge brought the index tantalizingly close to the 87,000 mark, marking the third consecutive day of bullish momentum on the bourse.
The trading session kicked off with a 268-point rise, pushing the KSE-100 index to 86,734.66 points by mid-morning. This followed a similarly strong performance the previous day when the index touched 86,807 points. By the close of Tuesday’s trading, the index stood at 86,837.06, reflecting a gain of 370.49 points or 0.43%. The trading volumes during the session surpassed 201 million shares, with a total market value of Rs. 4.69 billion, signaling robust investor activity.
Market analysts attribute this sustained upward trajectory to a combination of improved investor confidence, favorable economic indicators, and a more stable political environment. The strong performance on Wednesday built on the momentum from earlier in the week, where the market saw significant gains driven by across-the-board buying and positive market sentiment.
On Monday, the PSX staged an impressive recovery, buoyed by encouraging economic developments and a degree of political stability. The KSE-100 index surged past the 86,000-point barrier, registering gains of over 800 points, reflecting the optimistic outlook of investors. The approval of key constitutional amendments by the National Assembly (NA) played a crucial role in reinforcing this positive market sentiment.
Throughout the session on Monday, the bourse experienced a robust buying spree across various sectors, leading to a significant uptick in the index. By the end of the trading day, the index reached an intra-day high of 86,172.79 points. The gains were further bolstered by the listing of BF Biosciences, a joint venture between Ferozsons Laboratories and Argentina’s Bago Group, at a special gong ringing ceremony, which also contributed to the positive market atmosphere.
On the macroeconomic front, Pakistan posted a current account surplus of $119 million for September 2024, the highest level since April 2024. This development provided an additional boost to market sentiment, reinforcing confidence in the country’s economic stability.
“Stocks showed a sharp recovery in early session, led by across-the-board buying, after the NA passed constitutional amendments, ending political uncertainty,” commented Ahsan Mehanti, Managing Director of Arif Habib Corp. He further noted that “speculation surrounding the earnings season and easing lending rates also acted as catalysts for bullish activity at the PSX.”
The upward trend persisted throughout Monday’s session, with the KSE-100 index closing with a notable gain of 807.42 points, or 0.95%, settling at 86,057.52 points. The auto sector saw a particular boost, driven by a modest recovery in sales volumes and an increase in auto financing. This sector-specific growth contributed to the broader market gains.
Overall trading volumes surged to 474.9 million shares on Monday, significantly higher than Friday’s total of 323.9 million shares. The value of shares traded during the session also saw an uptick, amounting to Rs. 19.7 billion. The trading day witnessed 445 companies participating, with 269 stocks closing higher, 124 declining, and 52 remaining unchanged.
The PSX’s recent performance underscores a renewed sense of optimism among investors, driven by a combination of positive economic data, a more predictable political climate, and strategic market developments. As the market inches closer to the 87,000-point milestone, the ongoing bullish trend suggests a favorable outlook for Pakistan’s financial markets, positioning the country as a resilient player in the regional investment landscape.