Records continued to tumble at the Pakistan Stock Exchange (PSX), with the benchmark KSE-100 Index crossing the 150,000 level during intraday trade before ending the day at yet another all-time closing.
Positive momentum persisted throughout the trading session, as the benchmark index hit an intraday high of 150,323.38.
At close, the KSE-100 Index settled at 149,770.74, a gain of 1,574.32 points or 1.06%.
Buying interest was observed in key sectors including automobile assemblers, commercial banks, cement and pharmaceuticals.
Analysts attributed the buying rally to the market optimism fueled by reports of the government’s upcoming circular debt reform drive, which investors expect will ease liquidity constraints in the energy chain— a long-standing concern for the economy.
“The buying trend is expected to persist”, Samiullah Tariq, Head of Research at Pak-Kuwait Investment, told Business Recorder.
The analyst added that strong corporate results, better than expected economic performance and lower returns from alternative asset classes are driving the market sentiment.
“Improving macros, attractive valuations and measures against dollarisation have positioned equities as the preferred asset class,” said Arif Habib Limited, in a note.
The brokerage shared that domestic liquidity, fueled by new funds and fixed-income conversion, is driving valuations.
“Earnings growth expected at 9.2% in FY26, led by banks, cement, OMCs, power technology and chemicals,” AHL added.
Similarly, Waqas Ghani, Head of Research at JS Global, attributed the ongoing uptrend “to strengthened investor confidence owing to improving macroeconomic fundamentals and greater policy clarity”.
PM Shehbaz hails the milestone
In a statement, Prime Minister Shehbaz Sharif lauded the development, thanking the business community for supporting the government policies.
“The confidence of investors and the business community has been restored due to the improvement in the economy,” he said. “The country is moving towards development, but more effort is needed.”
Meanwhile, Advisor to Finance Minister Khurram Schehzad shared key highlights of the PSX.
“Pakistan’s rising global credibility and recognitions, home-grown structural reforms agenda, with positive macroeconomic outlook turning into strong investor confidence,” Advisor to Finance Minister Khurram Schehzad, said in a post on X.
On Monday, PSX surged as bulls staged a strong comeback, with the benchmark KSE-100 Index settling at 148,196.42 points.
Internationally, stocks in Asia and oil prices edged lower on Tuesday before a key meeting of central bankers and as traders evaluated promising diplomatic signals toward ending hostilities between Russia and Ukraine.
European equity futures posted modest gains after Ukrainian President Volodymyr Zelenskiy said security guarantees for his nation will likely be worked out within 10 days after talks with US President Donald Trump and European leaders.
Japan’s Nikkei share gauge set a new intraday record high before heading lower. The US dollar held on to gains from the previous session as traders awaited policy hints from the Federal Reserve ahead of its annual gathering in Jackson Hole, Wyoming.
MSCI’s broadest index of Asia-Pacific shares outside Japan slid 0.2% in early trading, after US stocks ended the previous session with mild losses.
Pan-region Euro Stoxx 50 futures were up 0.3%, German DAX futures rose 0.2%, and FTSE futures added 0.3%.
Meanwhile, the Pakistani rupee recorded its 8th successive gain against the US dollar. The local currency appreciated by 0.02% in the inter-bank market on Tuesday. At close, the rupee settled at 281.96, a gain of Re0.06.
Volume on the all-share index increased to 809.08 million from 610.31 million recorded in the previous close.
The value of shares rose to Rs48.43 billion from Rs39.17 billion in the previous session.
WorldCall Telecom was the volume leader with 52.32 million shares, followed by B.O.Punjab with 46.06 million shares, and Fauji Cement with 43.73 million shares.
Shares of 483 companies were traded on Tuesday, of which 265 registered an increase, 194 recorded a fall, while 24 remained unchanged.
