Pakistan Stock Exchange continues record-breaking streak

The bullish trend briefly touched 86,940 points during intra-day trading.

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The Pakistan Stock Exchange (PSX) continued its bullish trend on Wednesday, as the KSE-100 index soared to a record high of 86,940 points in intra-day trading, just shy of the 87,000 mark.

This surge marks the third consecutive day of the bullish trend.

The trading session opened with a 268-point jump, pushing the index to 86,734.66 at 11:18am.

This follows a similarly positive session on the previous day, where the KSE-100 index touched 86,807 points.

On Tuesday, at the close of the most recent market activity, the KSE-100 index stood at 86,837.06, up by 370.49 points or 0.43%. Trading volumes exceeded 201 million shares, with a total market value of Rs4.69 billion.

Market analysts attribute this consistent rise to improved investor sentiment and stable economic indicators.

On Monday, PSX staged a remarkable recovery, fueled by encouraging economic indicators and some degree of political stability.

The KSE-100 index surged past 86,000 with gains of over 800 points, reflecting investor optimism and confidence.

The surge was driven by across-the-board buying following approval of constitutional amendments by the National Assembly (NA).

Earlier, the bourse began the session with a strong buying spree that persisted throughout the day, leading to a notable recovery across various sectors. As a result, the index advanced to the intra-day high of 86,172.79 points towards the close of trading.

At a gong ringing ceremony, the PSX marked the listing of BF Biosciences, a pharmaceutical joint venture between Ferozsons Laboratories and Bago Group of Argentina. On the economic front, Pakistan posted a current account surplus of $119 million for September 2024, the highest since April 2024.

"Stocks showed a sharp recovery in early session, led by across-the-board buying, after the NA passed constitutional amendments, ending political uncertainty," said Ahsan Mehanti, Managing Director of Arif Habib Corp.

"Speculation surrounding the earnings season and easing lending rates also acted as catalysts for bullish activity at the PSX," he noted.

At the close of trading, the benchmark KSE-100 index posted impressive gains of 807.42 points, or 0.95%, and settled at 86,057.52.

During the day, auto stocks appeared attractive, driven by a modest recovery in volumes and an uptick in auto financing, the analyst added.

Overall trading volumes increased to 474.9 million shares compared with Friday's tally of 323.9 million. The value of shares traded during the day was Rs19.7 billion.

Shares of 445 companies were traded. Of these, 269 stocks closed higher, 124 fell and 52 remained unchanged.