The Pakistan Stock Exchange (PSX) experienced a remarkable week, climbing to record levels fueled by renewed optimism over Pakistan’s improving ties with the United States and Saudi Arabia, along with encouraging progress in talks with the International Monetary Fund (IMF).
Investor sentiment remained bullish as the market crossed seven major milestones in a single week, marking one of the strongest rallies in recent months.
The PSX 100 Index surged by 6,733 points, reflecting a 4.1% weekly increase, to close at a record 168,990 points.
During the week, the index reached a high of 169,988 points, bringing the market within striking distance of the symbolic 170,000-point mark — a first in Pakistan’s history.
Trading activity was also robust, with a record Rs79 billion worth of shares traded in a single day, underscoring strong investor participation.
Massive growth in volume and capitalization
The PSX recorded an average daily trading volume of 1.8 billion shares, while 7.42 billion shares worth Rs364 billion were traded over the week.
The market capitalization also expanded significantly, increasing by Rs618 billion to reach Rs19,660 billion. This increase reflects the renewed confidence of both institutional and retail investors in the country’s financial stability.
Why surge?
Market analysts attributed the rally to a combination of factors, including:
Positive IMF discussions indicating potential economic relief measures.
Stronger diplomatic engagement with the United States and Saudi Arabia, signaling possible foreign investment inflows.
Stable currency performance and growing optimism in key sectors like banking, energy, and construction.
Outlook: PSX eyes 170,000 mark
With the market nearing the 170,000 milestone, investors are watching closely for policy developments and IMF updates that could sustain the momentum.
Experts suggest that continued foreign support and fiscal discipline could keep the PSX rallying in the weeks ahead, while any policy uncertainty may trigger short-term corrections.
