PSX crosses 111,000 points for the first time in history

Pakistan's stock market surged to a historic high on Monday, with the KSE 100 index crossing the 111,000-point mark for the first-time ever.

The market opened with a rally of 1,284 points, pushing the index to a peak of 111,254 points during intra-day trading. This surge follows several weeks of growth, with the KSE 100 index frequently hitting record highs.

Analysts attribute the bullish trend to positive economic indicators, a significant reduction in interest rates under the new monetary policy, improved foreign inflows, and ongoing economic reforms.

These factors have bolstered investor confidence and created a favourable environment for the stock market.

On the previous trading day, the index closed at a record high of 109,970.38 points, marking a gain of 916.44 points.

Over the past several weeks, the market has been on an upward trajectory, driven by these positive economic signals.

As the market continues to climb, investors are hopeful that these trends will persist, contributing to sustained growth in Pakistan's financial markets.

Pakistan Stock Exchange (PSX) on Monday surged to another record high as the KSE-100 index gained over 900 points, powered by extensive institutional buying and widespread optimism about the policy rate reduction in the upcoming monetary policy announcement.

In the morning, the market opened with negative sentiment due to concerns over the advance-to-deposit ratio (ADR) condition for banks, which caused a decline of 1,424 points in the index. However, when local institutions entered the market, it moved into the positive territory and reached the intra-day high of 110,359 points before the close of trading.

The rally was driven by the decline in government bond yields, speculation about a larger policy rate cut by the State Bank of Pakistan (SBP) and the stabilising rupee. Analysts highlighted that a rise in global crude oil prices further fuelled investor optimism.

Traded activity was strong with notable contribution to the traded volume coming from stocks such as K-Electric, WorldCall Telecom and Cnergyico PK.

Top value contributors were Mari Petroleum, Lucky Cement, Systems Limited, Engro Corporation and The Searle Company, which collectively added 910 points.