The Pakistan Stock Exchange (PSX) began the trading week on a strong note on Monday, continuing its bullish momentum and crossing an intraday high of 135,000 points.
This was driven by improving investor sentiment and a better economic outlook.
The market opened at 134,299.76 points and surged by 1,170 points in early trading to cross the 135,000 mark.
As of 12:15 PM, the benchmark KSE-100 index had gained 1,841.11 points (1.37%) and was trading at 136,119.27, and a total of 134,882,053 shares were traded, with a value of Rs11.12 billion.
Prime Minister Acknowledges Market Performance
Prime Minister Shehbaz Sharif expressed satisfaction over the PSX’s strong performance and historic rise.
According to the Prime Minister’s Office, he said, “The significant achievement by the PSX is a clear reflection of the business community’s growing confidence in Pakistan’s economy.”
He added, “The recent positive economic indicators are a testament to his government’s policies moving in the right direction,” and reiterated that ensuring a business-friendly environment is the government’s top priority.
He stated that the country has progressed from economic stability to a path of growth and said the government is working with full dedication for national development and public welfare.
Moreover, he added, “This positive outlook follows a period of concerted efforts to stabilise the economy and implement structural reforms, which appear to be gaining traction and restoring investor trust.”
Key Economic Indicators
Last week, the PSX had already crossed 134,000 points amid consistent buying from local mutual funds and strong macroeconomic indicators.
Investor optimism has been backed by several positive developments, workers’ remittances rose to a historic $3.4 billion in June, an 8% year-on-year increase.
However, full-year FY25 remittances hit a record $38.3 billion, up 27% from the previous year.
The State Bank of Pakistan’s foreign exchange reserves also jumped by $1.8 billion to $14.5 billion as of July 4, the highest level in 39 months.
Auto Sector Performance
Another boost came from the auto sector.
According to the Pakistan Automotive Manufacturers Association (PAMA), car sales in June rose 64% year-on-year and 47% month-on-month to 21,773 units.
For FY25, total car sales increased by 43% to 148,000 units, driven in part by advance purchases ahead of a proposed GST hike on small cars.
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