The record-breaking rally at the Pakistan Stock Exchange (PSX) extended into Wednesday, with the benchmark KSE-100 Index closing above the 130,000-point level for the first time in its history.
The index gained 2,144.61 points, or 1.67%, to settle at 130,344.03 after touching an intra-day high of 130,545.94. Buying activity remained strong throughout the session across major sectors including automobile assemblers, oil and gas exploration companies, oil marketing companies, power generation, and refineries. Key index movers included PRL, HUBCO, PSO, MARI, OGDC, PPL, and POL, all of which closed in the green.
Market analysts attributed the sustained rally to strengthening macroeconomic indicators such as easing inflation, a stable exchange rate, and expectations of further monetary easing.
Analysts noted that the rupee has largely remained stable and the current account is expected to post a surplus in FY25, creating room for an additional policy rate cut of around 100 basis points.
Improved investor sentiment, both local and foreign, has also contributed to market liquidity, providing support to the upward trend. According to market participants, increased participation by domestic institutional investors is a key driver of the current rally.
The index had already posted a substantial gain on Tuesday, when it surged 2,572.11 points, or 2.05%, to close at a then record high of 128,199.43, driven by similar macroeconomic optimism and policy expectations.
