The Pakistan Stock Exchange (PSX) saw an impressive rally on Friday, with the benchmark KSE-100 Index rising by 698.03 points, or 0.86%, at 82,157.31 points during intra-day trading.
This surge marked a new high for the index, further reflecting positive market sentiment and investor confidence in Pakistan’s economic recovery.
The index reached an intraday high of 82,372.19 points, while the lowest point during the trading session was 81,387.57 points.
Total of 81.8 million shares were traded, with a cumulative value of Rs7.7 billion, highlighting robust trading activity.
Yesterday, KSE-100 index, PSX’s benchmark, surged by nearly 1,500 points as Pakistan posted a current account surplus of $75 million for August 2024.
This momentum was further bolstered by a rise in net foreign direct investment, which climbed to $214 million in August, up from $136 million in July.
The index hit an intra-day high of 82,003.58 points in early trading, reflecting strong buying activity across sectors. However, mid-day profit-taking saw it dip to a low of 80,680.24 points, before closing at 81,459.29, gaining 997.95 points, or 1.24%.
Key sectors such as fertilisers, banking, and oil and gas development attracted notable interest. Companies like Fauji Fertiliser, Engro Fertiliser, Meezan Bank, MCB Bank, and Oil and Gas Development Company collectively added 690 points to the index.
Ahsan Mehanti, Managing Director of Arif Habib Corp, cited a rally in global equities and positive economic data, including the current account surplus, as key drivers of the bullish sentiment.
Expectations of an International Monetary Fund (IMF) $7 billion Extended Fund Facility (EFF) approval and rising crude oil prices further supported the market’s gains.
Topline Securities reported that the KSE-100 index was nearing the 82,000-point level for the first time, fuelled by positive economic indicators and hopes of lower interest rates.
Arif Habib Limited (AHL) also noted that the index broke past 82,000 points during intra-day trading, helped by a larger-than-expected US Federal Reserve rate cut, which sparked a global rally in risk assets.
Of the stocks traded, 61 advanced and 36 declined. Major gainers included Fauji Fertiliser (+5.17%), Engro Fertiliser (+5.4%), and Meezan Bank (+3.61%). Mari Petroleum (-1.92%), TRG Pakistan (-7.68%), and Service Industries Limited (-2.11%) were the top decliners.
