KARACHI: The Pakistan Stock Exchange (PSX) began the new fiscal year 2025-26 with a historic rally, as the benchmark KSE-100 Index shattered previous records by gaining more than 2,500 points and crossing multiple psychological thresholds in a single day.
Trading on Tuesday saw the market ascend rapidly, with the KSE-100 Index climbing by 2,515 points to reach an all-time high of 128,142 points. This marks the first time in the country’s history that the index has crossed the 128,000-point mark, breaking through the 126,000 and 127,000 levels earlier in the same session.
The previous intraday high was recorded in June at 126,718 points. The sharp uptrend reflects growing investor confidence, fuelled by a combination of political and economic stability.
The market opened positively and continued to build momentum throughout the day, with active participation observed across key sectors, including banking, oil and gas, power, and automobile manufacturing.
Investor optimism remains high going into July, driven by a combination of economic and political stability. The Ministry of Finance has projected inflation to ease to 4% in June, a factor that has further reinforced positive expectations for the market.
On the global front, Asian markets largely traded higher amid anticipation surrounding key legislative developments in the United States.
Investors were closely watching a vote on a sweeping tax and spending bill pushed by US President Donald Trump, with the legislation facing delays due to extended Senate debates. The bill is expected to add an estimated $3.3 trillion to the US debt, a prospect that has tempered global risk appetite.
MSCI’s broadest index of Asia-Pacific shares outside Japan gained 0.5%, led by South Korea’s Kospi, which rose 1.8%. Japan’s Nikkei, however, retreated by as much as 1.1% as the yen strengthened. Oil prices declined for the second consecutive session, while gold edged up as investors positioned themselves ahead of crucial US labour market data due later in the week.
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