PSX nears 167,000 on institutional inflows

The Pakistan Stock Exchange (PSX) closed on a positive note on Friday as the benchmark KSE-100 index advanced slightly over 1,300 points, extending its upward momentum and marking another strong session driven by institutional buying and renewed investor confidence.

The index's rise capped off a robust week in which it gained 2.8% week-on-week (WoW), while monthly data reflected a 3.12% month-on-month (MoM) increase in November despite a slowdown in overall trading activity.

Buoyed by improved market breadth, steady inflows and value hunting in heavyweight sectors, the KSE-100 is now approaching the upper band of its 160,000–170,000 consolidation range, with analysts noting constructive sentiment even as prospects of a technical pullback linger after sharp gains.

At the close of trading, the benchmark KSE-100 index posted a gain of 1,304.39 points, or 0.79%, and settled at 166,677.70.

Muhammad Hasan Ather of JS Global noted that the KSE-100 posted a growth of 0.8% for a second consecutive bullish session. The rally was underpinned by robust institutional inflows and value hunting, particularly in blue-chip heavyweight sectors like banks, cement and fertiliser.

The sustained momentum, fueled by improved market breadth and activity, suggests investors remain positive on the economic front. With the index nearing the upper end of its 160,000-170,000 consolidation range, the near-term outlook is constructive, though a technical pullback remains possible after such sharp gains, he said.

Arif Habib Limited (AHL) reported a strong week for equities, with the KSE-100 rising 2.8% WoW to close above the 166,000 level, putting the October peak back into focus.

Market breadth remained positive on Friday as 75 stocks advanced while 24 declined. Key contributors to the index's gains included Systems Limited (+3.89%), Pakistan Petroleum (+2.48%) and Hub Power (+1.62%). On the downside, the biggest drags were Fauji Fertiliser (-1.17%), Fatima Fertiliser (-3.64%) and Engro Fertilisers (-0.61%).

In notable corporate developments, AHL said, Ghandhara Industries gained 4.28% after announcing a partnership with Zhongtong Bus Holding to introduce and distribute luxury buses in Pakistan. Meanwhile, Prime Minister Shehbaz Sharif directed the Federal Board of Revenue to reduce the super tax on large companies.

Looking ahead, analysts note an upside target of 170,000 for the index, with immediate support expected around 164,000.

Topline Securities, in its monthly review, said that the KSE-100 gained 3.12% MoM, which could be attributed to the return of buying by local institutions and individuals. However, an overall decline in trading activity was observed on a monthly basis as average daily traded value and volume in November stood at Rs34.8 billion (down 34% MoM) and 819 million shares (down 42% MoM).

Major developments during the outgoing month were the Consumer Price Index for October 2025 coming in at 6.2% YoY, remittances in the month reaching $3.42 billion (up 12% YoY and 7% MoM) and the current account posting a deficit of $112 million for October vs surplus of $83 million in September.

Overall trading volumes in the market hit 593 million shares, up from the previous tally of 498 million. The value of shares traded during the day was Rs42 billion.

Shares of 478 companies were traded. Of these, 238 stocks closed higher, 199 fell and 41 remained unchanged.

Sui Southern Gas Company was the volume leader with trading in 39 million shares, gaining Rs3.59 to close at Rs39.47. It was followed by The Bank of Punjab with 34 million shares, gaining Rs0.63 to close at Rs33.96 and WorldCall Telecom with 33 million shares, losing Rs0.04 to close at Rs1.82. Foreign investors sold shares worth Rs1 billion, the National Clearing Company reported.