The Pakistan Stock Exchange (PSX) continued its bullish run on Thursday as the benchmark KSE-100 index soared past the 138,000 milestone for the first time in history, backed by deep investor interest and robust performance by heavyweight sectors.
Stock buying was observed across the board, with notable strength in auto, cement, fertiliser and energy sectors. The momentum was driven primarily by institutional activity and the upbeat macroeconomic outlook.
Among energy categories, oil and gas exploration, oil marketing, power generation and refining led the charge, pushing the index higher. Banking names like United Bank and National Bank also contributed significantly, while improved volumes and positive cues helped sustain investor interest. The index touched intra-day peak of 138,943.47 before settling at 138,665.50 at close, up sharply by 2,285.53 points, or 1.68%.
Arif Habib Corp MD Ahsan Mehanti commented that stocks closed at an all-time high, driven by broad-based gains amid unconfirmed reports of a potential US president's visit on September 18, which was expected to strengthen bilateral trade ties.
"Optimism about the resolution of tax issues through government-businessmen talks and improving economic indicators also supported the record rally at the PSX," he added.
KTrade Securities, in its market wrap, wrote that the PSX experienced a strong session, with the KSE-100 index gaining 2,286 points (+1.68%) to close at a new all-time high of 138,665.
The rally was led by strength in fertiliser, banking and technology sectors, where notable contributions came from Fauji Fertiliser, United Bank, Engro Fertilisers, Systems Ltd, Engro Holdings, Hub Power, Habib Bank and Lucky Cement, it said.
JS Global analyst Muhammad Hasan Ather stated that the historic rally at the PSX was driven by aggressive buying in energy, oil, fertiliser and pharmaceutical sectors, which was further fuelled by expectations of rate cut in the upcoming monetary policy committee meeting.
Investor sentiment was also lifted by a breakout from the three-day consolidation. While short-term profit-taking may emerge, the medium-term outlook remains bullish as economic recovery gains pace, liquidity improves and corporate earnings stay resilient, Ather forecast.
Arif Habib Limited (AHL) observed that the KSE-100 index posted strong gains after testing support levels earlier in the week and edged closer to the 139,000 mark.
Some 80 shares rose while 20 declined, with major gains coming from Fauji Fertiliser (+2.92%), United Bank (+2.82%) and Engro Fertilisers (+5%). On the flip side, Bank AL Habib (-0.86%), Thal Limited (-3.37%) and Habib Metropolitan Bank (-1.15%) were the biggest drags, it said.
In corporate news, Pakistan Services (+10%) received an offer for 28% voting shares from AKD Group Holding. On the diplomatic front, Pakistan and El Salvador formally established bilateral relations, with particular focus on cryptocurrency collaboration, AHL mentioned.
Among top stocks held by mutual funds, Oil and Gas Development Company (OGDC), Pakistan Petroleum Ltd (PPL) and Pakistan State Oil (PSO) led the list.
OGDC topped with 62 mutual funds collectively holding 17.2% of its free float. PPL followed with 51 funds owning 15.5%, while PSO ranked third, held by 50 funds representing 29.7% of its free float. As the market heads into the final trading session of the week, the KSE-100 index is up 3.25% so far in the week, it concluded.
Topline Securities, in its review, remarked that after catching their breath for two sessions, the bulls stormed back onto the trading floor, taking the benchmark KSE-100 index to intra-day high of 2,563 points before closing at a mighty 138,665, up 2,286 points.
The rally was driven by heavy institutional flows, with local investors stepping in to scoop up, reigniting market momentum. Fertiliser stocks stole the limelight as the sector's giants posted hefty gains and contributed 563 points to the index, Topline mentioned. Overall trading volumes increased to 780 million shares as compared to Wednesday's tally of 706 million. The value of shares traded was Rs40 billion. Shares of 486 companies were traded. Of these, 306 stocks closed higher, 154 dropped and 26 remained unchanged.
Pakistan International Bulk Terminal led the volumes chart with trading in 82.7 million shares, rising Rs0.4 to close at Rs10.09. It was followed by First Dawood Properties with 42.5 million shares, gaining Rs0.89 to close at Rs7 and Ghani Chemworld with 26 million shares, higher by Rs1.18 to close at Rs13.21. Foreign investors sold shares worth Rs350.4 million, the National Clearing Company reported.
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