PSX soars to record high as KSE-100 crosses 87,000 mark for first time
Segregation of client assets is critical as brokers have been penalised for using client money illegally. PHOTO: AFP
The buying spree at the Pakistan Stock Exchange (PSX) continued on Wednesday, with the benchmark KSE-100 Index breaking past the 87,000 mark for the first time, closing at a new all-time high.
The index finished the day at 87,194.53 points, gaining 727.96 points, or 0.84%. During trading, it touched a record intra-day high of 87,309.22 points.
This bullish trend was fueled by strong interest in energy sector stocks, particularly those of companies like HUBCO, K-Electric (KEL), Pakistan Petroleum Limited (PPL), Oil & Gas Development Company (OGDC), and Attock Refinery Limited (ATRL), all of which ended in positive territory.
Analysts credit the ongoing rally to growing anticipation of a cut in the central bank’s key policy rate, driven by expectations of lower inflation figures for the month.
“The decline in yields on the secondary market, coupled with political stability, a successful Shanghai Cooperation Organisation (SCO) summit, and significant local mutual fund investments, are key factors behind this unprecedented surge,” said Mohammed Sohail, CEO of Topline Securities, in a market note.
On the previous trading day, the PSX had already set a record, with the KSE-100 Index closing at 86,466.58 points, an increase of 409.06 points, or 0.48%. That rise was mainly attributed to aggressive buying by local investors, supported by institutional activity.
While trading volume on the all-share index dropped to 699.29 million shares from 722.21 million the previous day, the total value of traded shares increased to Rs26.82 billion from Rs25.02 billion in the prior session.
K-Electric Ltd led the volume with 207.63 million shares, followed by WorldCall Telecom at 42.92 million shares, and Pakistan International Bulk Terminal (PIBT) with 33.97 million shares.
Overall, 447 companies were traded on Wednesday, with 214 registering gains, 173 experiencing declines, and 60 remaining unchanged.
Meanwhile, the Pakistani rupee remained stable against the US dollar in the interbank market, closing at 277.73, a minimal gain of Rs0.01.