The Pakistan Stock Exchange (PSX) extended its historic rally on Monday, with the KSE-100 Index crossing the 163,000 threshold for the first time. The benchmark closed at a record 163,847.68 points, gaining 1,590.68 points, or 0.98%, compared to the previous close of 162,257.00.
During intraday trade, the index touched a peak of 163,903.62 points—a jump of 1,646.62 points (1.01%)—before retreating to a low of 162,058.64 points, down 198.36 points (-0.12%).
“The effects of the floods seem milder than expected; therefore, the inflation numbers will remain well within range. This, coupled with the reported conversion of fixed income investment to equity, is causing the market to rerate,” remarked Ahfaz Mustafa, CEO of Ismail Iqbal Securities. He added, “The macro front and the reduced risk of rollover due to the improving relationships with other countries is also boosting the market sentiments.”
The rally followed a week of bullish momentum, fueled by Prime Minister Shehbaz Sharif’s meeting with US President Donald Trump, a Rs1.2 trillion debt settlement with banks, and optimism over Saudi economic engagement.
Analysts anticipate the upward trend will continue, particularly in banking, energy, and power, though external financing and IMF conditions remain critical risks. The Rs1.225 trillion circular debt deal, Pakistan’s plans to issue Panda bonds, and commercial loan inflows further supported sentiment.
Meanwhile, the State Bank of Pakistan reported reserves at $14.4 billion, up $22 million, with the rupee inching higher to Rs281.37 per dollar. Additional drivers included a 10% power tariff cut, Japan’s investment plans in Reko Diq, and Pakistan’s request for tariff concessions from China.
On Friday, the index had surged 2,976.92 points (1.87%) to settle at 162,257.01, continuing the market’s record-breaking trajectory.
PSX Hits Historic 163,847 on Strong Macros and Investor Optimism
