Positive momentum continued at the Pakistan Stock Exchange (PSX) on Thursday as the KSE-100 index extended its upward trajectory to close at a new all-time high with addition of 342.63 points. Investor sentiment remained robust, which propelled the benchmark index to intra-day high of 131,325. At close, the market settled at 130,686.66, higher by 0.26%.
The rally was led by index-heavy sectors, particularly oil & gas, banking and power. However, overall trading remained mixed. Among major triggers, Pakistan's foreign exchange reserves jumped $5.1 billion to $14.5 billion by the end of FY25. This rise reflects improvement in the current account balance and the realisation of planned inflows.
"Stocks closed higher at a new all-time high after the government slashed NSS (National Savings Scheme) rates, which will push investors towards equities, and the State Bank's forex reserves hit $14.5 billion," said Arif Habib Corp MD Ahsan Mehanti.
He added that thin inflation, reduction in industrial power tariffs and government deliberations on privatisation of state enterprises were the catalysts for bullish close at the PSX.
KTrade Securities wrote in its report that the bourse experienced a mixed day as the KSE-100 index encountered general profit-taking, especially in the banking segment.
Notable gains were witnessed in the oil & gas and power sectors where Oil and Gas Development Company, UBL, Hub Power, Pakistan Petroleum and Askari Bank added the most points. The report predicted a broadly optimistic outlook, contingent on continued geopolitical stability.
JS Global analyst Muhammad Hasan Ather said that the KSE-100 index rose 343 points to close at 130,687, after hitting intra-day high of 131,325. The bullish momentum was driven by strong institutional buying and optimism about earnings, particularly in the energy sector.
Although profit-taking pared initial gains, the index stayed in the green. With positive economic indicators and sustained investor confidence, the market is expected to maintain its upward trajectory in the near term, though intermittent corrections are likely, he added.
Arif Habib Limited (AHL) reported that the KSE-100 index experienced two-way volatility around the 130,000 level but it managed to hold the key level at close.
Some 53 shares advanced while 46 declined. Major contributors to the index gains were Oil and Gas Development Company (+2.77%), UBL (+1.32%) and Hub Power (+2.26%). On the flip side, the biggest laggards were Bank AL Habib (-4.14%), MCB Bank (-2.46%) and Meezan Bank (-1.6%), it said.
The KSE-100 is currently up 5.07% week-on-week as it heads into the final session of the week, with technical support remaining at 127,000 points, AHL added.
Topline Securities observed that the market experienced considerable intra-day volatility, where the index climbed to the high of 131,325 and retreated to the low of 129,776, as investors engaged in strategic profit-taking. The index faced downtrend primarily due to negative contributions from Bank AL Habib, MCB Bank, Meezan Bank, HBL and Millat Tractors, which collectively eroded 493 points. Conversely, notable gains in OGDC, UBL and Hubco partially offset the decline, contributing 353 points, Topline said.
Overall trading volumes decreased to 899.8 million shares compared with Wednesday's tally of 1.03 billion. The value of shares traded was Rs43.3 billion. Shares of 468 companies were traded. Of these, 216 stocks closed higher, 236 fell and 16 remained unchanged.
WorldCall Telecom was the volume leader with trading in 49.5 million shares, falling Rs0.02 to close at Rs1.59. It was followed by Image Pakistan with 36.7 million shares, rising Rs2.87 to close at Rs32.47 and The Bank of Punjab with 35.1 million shares, losing Rs0.02 to close at Rs11.52. Foreign investors sold shares worth Rs909 million, the National Clearing Company reported.
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