The Pakistan Stock Exchange (PSX) continued its strong upward trajectory on Monday, as the KSE-100 Index surged past the 142,000-point mark for the first time in history. By 2:35 PM, the benchmark index had climbed to 142,131.39, reflecting a notable gain of 1,096.41 points or 0.78% during intra-day trading.
The rally was underpinned by broad-based buying across key sectors, including commercial banks, oil and gas exploration companies, oil marketing companies (OMCs), power generation, and refinery stocks. Major gainers included index-heavyweights such as ARL, MARI, OGDC, PPL, POL, PSO, WAFI, HBL, MEBL, and NBP.
Analysts credit this bullish momentum to growing investor optimism, which was further fueled by the recent US-Pakistan trade deal aimed at reducing tariffs on Pakistani exports. The agreement is being seen as a critical milestone in enhancing economic cooperation and boosting Pakistan’s export-driven sectors.
Last week, the PSX closed at a record high of 141,035 points, marking a 1.3% increase on a weekly basis. The benchmark index had also touched a new intraday record of 141,161 points, underscoring heightened investor confidence in Pakistan’s macroeconomic outlook.
Global Market Context
Meanwhile, global financial markets painted a mixed picture. Asian share markets tracked Wall Street’s recent decline, triggered by concerns over a slowdown in the US economy. A weaker-than-expected July payroll report in the US showed job growth slowing dramatically, reinforcing expectations of a rate cut by the Federal Reserve in September.
Adding to investor uncertainty were political developments, including President Donald Trump’s decision to fire the head of Labor Statistics, raising concerns about the credibility of official data. Further speculation around Trump potentially appointing a new Federal Reserve governor added fuel to market anxiety over politicization of interest rate decisions.
Despite these headwinds, US stock futures showed modest resilience, with S&P 500 futures inching up 0.1% and Nasdaq futures rising 0.2%. The MSCI Asia-Pacific index (excluding Japan) stood out by firming 0.3%, although Japan’s Nikkei tumbled 2.1% and South Korea’s index dipped 0.2%.
