A robust rally marked trading at the Pakistan Stock Exchange (PSX) on Monday as bullish sentiment prevailed in full force during the ongoing corporate earnings season, which drove the KSE-100 index up by over 1,500 points.
Investor confidence was buoyed by record-breaking remittances at $4.1 billion for March 2025, as reported by the State Bank of Pakistan (SBP), alongside bull-run in global markets and the government's decision to avoid retaliatory tariffs against the US. The index surged 1.34% at 116,390, marking a strong recovery following last week's 3.3% plunge.
According to Ahsan Mehanti of Arif Habib Corp, stocks rallied in the earnings season, led by across-the-board activity, after the SBP chief reported upbeat data of remittances that reached $4.1 billion in March.
He added that a bull-run in global equities, surging international crude oil prices and the government's decision to avoid retaliation against the US tariff levies played the role of catalysts in bullish close at the PSX.
At the end of trading, the benchmark KSE-100 index recorded an increase of 1,536.70 points, or 1.34%, and settled at 116,390.04.
In its review, Topline Securities commented that bulls stood strong in Monday's session as the benchmark index posted a robust intra-day gain of 1,640 points. The momentum was largely driven by better-than-expected inward remittances, which bolstered investor sentiment.
Further support came from a broadly positive trend across regional markets, which encouraged local investors to re-enter and build fresh positions across key sectors, Topline noted.
Much of the positive momentum was driven by notable gains in heavyweight stocks, with UBL, Lucky Cement, Hub Power, Engro Holdings and Engro Fertilisers contributing 1,178 points.
Overall participation remained robust as traded volume reached 485 million shares while traded value stood at Rs27.4 billion, reflecting renewed investor interest and a broad-based recovery, it added.
In its report, Arif Habib Limited (AHL) observed that PSX started the week with gains, with the KSE-100 index back above 116,000 points.
Some 63 shares rose while 33 fell. UBL (+7%), Lucky Cement (+5.41%), and Hub Power (+4.33%) contributed the most to the index gains. On the flip side, Mari Petroleum (-2.05%), Fauji Fertiliser Company (-1.13%) and MCB Bank (-0.87%) were the biggest drags, it said.
AHL pointed out that Pakistan's remittances rose to a record in March at $4.1 billion, higher by 37%. SBP governor spoke at PSX on Monday, where he informed the audience that foreign debt repayment obligations were $26 billion for FY25, of which $16 billion was expected to be rolled over or refinanced, reducing actual repayment pressure to around $10 billion. Out of the $10 billion, $8 billion has already been repaid.
It noted "should gains continue, the last 'Monday gap' at 117.6k-118.6k remains the key level to watch for this week".
JS Global analyst Muhammad Hasan Ather commented that the KSE-100 index surged 1,537 points to 116,390 by the day's end, marking a strong recovery after last week's 3.3% decline.
The rally was fuelled by broad-based buying across multiple sectors, with heavyweight stocks like Hub Power, OGDC and banking leaders driving gains, he noted. The market rebounded as global sentiment improved following the exemption of smartphones and computers from the new US tariffs, the analyst added.
Overall trading volumes increased to 484.5 million shares compared with Friday's tally of 458.6 million. The value of shares traded during the day was Rs27.4 billion. Shares of 455 companies were traded. Of these, 247 stocks closed higher, 145 fell and 63 remained unchanged.
Cnergyico PK was the volume leader with trading in 55.1 million shares, gaining Rs0.23 to close at Rs8.64. It was followed by Pakistan International Bulk Terminal with 45.2 million shares, gaining Rs0.5 to close at Rs10.86 and Sui Southern Gas Company with 31.8 million shares, gaining Rs2.19 to close at Rs41.71. During the day, foreign investors sold shares worth Rs633 million, the National Clearing Company reported.
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