Buying rally continued at the Pakistan Stock Exchange (PSX), breaking new ground on the back of encouraging economic data and sustained investor confidence. The benchmark KSE-100 Index closed the day at a record high of 152,202 points on Wednesday.
Positive momentum persisted throughout the trading session, pushing the KSE-100 to a record intra-day high of 152,805.30.
At close, the benchmark index settled at 152,201.87, an increase of 1,226.39 points or 0.81%.
“The rally is driven by improving macro stability and robust corporate earnings,” Waqas Ghani, Head of Research at JS Global, told Business Recorder during the day.
“Cyclical sectors are at the forefront, with cement stocks drawing interest on stronger dispatches and profitability. Banks have supported the index with resilient earnings despite lower interest rates, while auto stocks are also in the limelight on the back of improved sales,” he shared.
Analysts attributed the ongoing momentum to several key factors.
“At the core lies macroeconomic stability, primarily underpinned by Pakistan’s ongoing IMF programme, which has strengthened investor confidence,” Saad Hanif, Head of Research at Ismail Iqbal Securities, told Business Recorder.
In addition, sharp interest rate cuts have played a significant role by lowering returns on traditional asset classes, thereby driving investors toward equities.
“Another major contributor has been heavy inflows from local institutions, providing liquidity and sustaining the upward rally,” he said.
In its post-market report, brokerage house Topline Securities said investor sentiment remained upbeat, largely driven by strong sectoral performance.
“The cement sector was in the spotlight, fueled by impressive offtake numbers. Industry dispatches rose more than 12% YoY in August 2025, reviving optimism across the board,” it said.
On Tuesday, the PSX carried its historic rally forward with the KSE-100 closing at 150,975.48 points, marking a strong gain of 1,004 points or 0.67%.
Internationally, a global slide in long-dated bonds extended into Asia on Wednesday, while gold climbed to a new peak as concerns mounted over government debt and economic growth.
The 30-year Japanese government bond (JGB) yield hit an unprecedented 3.255%, following a run-up in similarly dated gilts and Treasuries overnight. Japan’s Nikkei gauge of shares opened lower, following declines on Wall Street after data showed a continued contraction in US manufacturing.
Attention turns to services data in Europe for indications of how countries are weathering the unpredictable tariff regime from US President Donald Trump and to key US labour data on Friday for signals on rate cuts by the Federal Reserve.
Trump on Tuesday said his administration will ask the Supreme Court for an expedited ruling on tariffs that an appeals court found illegal last week.
The court allowed for the tariffs to stay in place until October 14.
MSCI’s broadest index of Asia-Pacific shares outside Japan was up 0.1%, while Japan’s Nikkei slid 0.5%.
Australia’s S&P/ASX 200 index sank 0.9% after second-quarter gross domestic product data.
Meanwhile, the Pakistani rupee maintained its positive momentum, appreciating 0.01% against the US dollar in the inter-bank market on Wednesday. At close, the rupee settled at 281.71, a gain of Re0.01 against the greenback. This was the rupee’s 19th consecutive gain against the greenback.
Volume on the all-share index decreased to 1,043.23 million from 1,081.07 million recorded in the previous close.
However, the value of shares improved to Rs51.31 billion from Rs44.42 billion in the previous session.
Pace (Pak) Ltd was the volume leader with 89.29 million shares, followed by Fauji Foods Ltd with 73.36 million shares, and B.O.Punjab with 51.57 million shares.
On the gainers’ side, Hoechst Pakistan Limited rose by Rs210.03 to close at Rs3,999.38, while PIA Holding Company Limited-B added Rs158.30 to settle at Rs26,815.80. Conversely, Unilever Pakistan Foods Limited fell by Rs281.29 to Rs32,703.51, and Rafhan Maize Products Company Limited shed Rs68.89 to Rs9,605.11, leading the laggards.
Shares of 477 companies were traded on Wednesday, of which 242 registered an increase, 204 recorded a fall, while 31 remained unchanged.
