Bank stocks, Pak-US deal propel PSX to record
Bulls once again took charge at the Pakistan Stock Exchange (PSX) on Monday as the benchmark KSE-100 index ended the trading session with a rise of 1,421 points, or 1.08%, settling at a new record high at 133,370.15.
The market enjoyed a strong rally throughout the day, fuelled by robust performance of bank stocks amid expectations of handsome earnings and dividend payouts for the June quarter, analysts commented.
Apart from that, Pakistan has reached a trade and tariffs deal with the US – a significant development in negotiations between the two countries. Optimism surrounding the deal supported the advancement of textile stocks during the day.
According to Ahsan Mehanti of Arif Habib Corp, stocks closed at a new all-time high in an earnings season rally on receding fears of US tariffs as a trade agreement had been reached, preventing the earlier anticipated 29% duties on exports to the US. Surging foreign exchange reserves, rupee stability and the proposed privatisation of state enterprises played the role of catalysts in record close at the PSX, he added.
In its review, Topline Securities commented that the KSE-100 index ended the trading session at 133,370, marking a gain of 1,421 points, or 1.08%. The rally continued throughout the day, with the index hitting intra-day high of 133,862, fuelled by strong performance of bank stocks amid expectations of robust earnings and dividend payouts for the June quarter. Textile stocks also advanced, likely supported by optimism about the tariff agreement with the US, it noted.
Major contributors to the index's upward movement included HBL, Fauji Fertiliser Company, Bank Alfalah, MCB Bank and Lucky Core Industries, which added 476 points. On the flip side, the index faced some pressure from negative contributions by Adamjee Insurance, Engro Fertilisers and Mari Petroleum, Topline added.
According to Arif Habib Limited (AHL), gains continued to accelerate at the PSX, where the KSE-100 closed above 133,000 points. Some 76 shares rose while 24 fell. Among the advancers, HBL (+3.67%), Fauji Fertiliser Company (+0.86%) and Bank Alfalah (+4.25%) contributed the most to index gains. On the other hand, Adamjee Insurance (-3.82%), Engro Fertilisers (-0.48%) and Mari Petroleum (-0.36%) were the biggest drags, the brokerage house said.
It pointed out that Pakistan and the United States have reached an agreement on a trade and tariffs framework, ahead of the July 9 deadline. This marks a significant development in the ongoing trade negotiations between the two nations. A formal announcement is expected only after the US concludes negotiations with other trade partners.
"The 130,000 level further strengthens its position as a support point against which gains should continue to accelerate," AHL stated. JS Global analyst Muhammad Hasan Ather commented that the KSE-100 index surged 1.4% to a record intra-day high of 133,862, driven by optimism about trade negotiations, macroeconomic stability and a strong corporate earnings outlook.
Falling inflation, strengthening forex reserves and capital inflows were enhancing investor confidence while higher taxes on alternative assets were redirecting capital into equities, he said. "With the earnings season ahead and technical indicators breaking new ground, we expect the bullish momentum to persist in the near term," the analyst added.
Overall trading volumes increased to 919.9 million shares compared with Friday's tally of 733.1 million. The value of shares traded was Rs45.3 billion. Shares of 479 companies were traded. Of these, 299 stocks closed higher, 155 fell and 25 remained unchanged.
Image Pakistan was the volume leader with trading in 48.1 million shares, gaining Rs3.08 to close at Rs36.32. It was followed by The Bank of Punjab with 42.5 million shares, rising Rs0.21 to close at Rs11.87 and WorldCall Telecom with 36.9 million shares, remaining unchanged at Rs1.55. Foreign investors sold shares worth Rs708.4 million, the National Clearing Company reported.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Business Recorder
19 hours ago
- Business Recorder
PSX maintains upward trajectory
KARACHI: The Pakistan Stock Exchange (PSX) maintained its upward trajectory on Friday, mainly attributed to the inflows from mutual funds, as investors continued converting their holdings from fixed income to equity funds. The benchmark KSE-100 Index gained 517.42 points, or 0.39 percent, to settle at 134,299.77 points up from the previous day's 133,782.35 points. The market opened on a positive note and remained largely in the green throughout the session, touching an intraday high of 134,931.96 points and low of 134,130.41 points. On Friday, BRIndex100 gained 56.65 points or 0.42 percent to close at 13,630.83 points with the total volume recorded at 572.99 million shares. Similarly, BRIndex30 advanced by 184.27 points or 0.46 percent to settle at 39,850.99 points. Topline Securities, in its post-session commentary, attributed the sustained positivity to continuous inflows from mutual funds, as investors continued converting their holdings from fixed income to equity funds — a trend evident in National Clearing Company of Pakistan Limited (NCCPL) data. Major contributions to the index's rise came from UBL, HUBCO, MTL, KTML and PSO, which cumulatively added 430 points. Overall, trading activity eased from the previous day's surge, with the total traded volume in the ready market clocking in at 765 million shares, compared to 941 million shares on Thursday. Similarly, the traded value stood at Rs 40.16 billion, up from Rs 36.06 billion of yesterday value. Among actively traded stocks, Bank of Punjab topped the volume chart with over 94.13 million shares changing hands with the closing rate of Rs 13.08, followed by Aisha Steel that ended the day at Rs 12.11 with 25.05 million shares traded, while Kohinoor Spinning also dominated the turnover and finished at Rs 6.69 with 23.6 million shares. Market breadth, however, remained mixed, with 220 companies advancing, 228 declining, and 29 remaining unchanged out of 477 active names. PSX witnessed a notable increase in its overall market capitalization on Friday, which rose to Rs 16.288 trillion from the previous session's Rs 16.210 trillion reflecting a gain of Rs 78 billion. This marked an uptick of approximately 0.48 percent in market cap. The BR Automobile Assembler Index finished the session at 22,427.83 points, recording an increase of 419.25 points or 1.9 percent, with a total turnover of 26.9 million shares. The BR Cement Index also closed higher at 10,840.73 points, rising by 103.24 points or 0.96 percent, on a total turnover of 57.66 million shares. Meanwhile, the BR Commercial Banks Index ended in negative territory at 38,925.79 points, down by 78.48 points or 0.2 percent, with a turnover of 127.41 million shares. The BR Power Generation and Distribution Index settled at 21,230.80 points, gaining 164.08 points or 0.78 percent, with a total of 22.66 million shares traded. Likewise, the BR Oil and Gas Index edged up by 52.83 points or 0.43 percent to close at 12,229.03 points, with a turnover of 39.54 million shares. On the other hand, the BR Technology & Communication Index closed lower at 3,046.56 points, losing 25.94 points or 0.84 percent, with a total turnover of 48.134 million shares. According to Ahsan Mehanti of Arif Habib Corporation, the Pakistan Stock Exchange surged to a new all-time high as the ongoing earnings season rally combined with a series of positive economic indicators to fuel investor sentiment. He noted that surging foreign exchange reserves, now approaching the $20 billion mark, along with a strong 38 percent year-on-year jump in auto sales for FY25, provided a major boost to market confidence. Additionally, the government's revision of Public Sector Development Program (PSDP) spending to Rs1.05 trillion for the current fiscal year and record remittance inflows acted as key catalysts, helping the market achieve another record close. Copyright Business Recorder, 2025
Express Tribune
20 hours ago
- Express Tribune
PSX extends record rally on investor interest
Listen to article The benchmark KSE-100 index at the Pakistan Stock Exchange (PSX) closed the week at a new record high on Friday to settle at 134,300 points as bullish sentiment prevailed amid robust corporate results and continued institutional inflows. Investor activity was particularly fueled by strong earnings of UBL, which posted a 99% year-on-year (YoY) surge in 1HCY25 earnings per share to Rs26.07 and declared a higher-than-expected dividend of Rs19 per share. Market breadth remained positive, with 55 stocks advancing and 45 declining. UBL (+2.4%), Hubco (+1.6%) and Millat Tractors (+2.76%) were the top contributors to the day's gains, collectively lifting the index by over 300 points. Meanwhile, pressure in select banking names such as Bank AL Habib (-3.3%), MCB Bank (-1.04%) and HBL (-1.22%) limited the upside. At close, the benchmark KSE-100 index posted a gain of 517.42 points, or 0.39%, and settled at 134,299.77. Trading activity remained strong, with volumes reaching 765 million shares and a traded value of Rs40 billion. Analysts at Topline Securities attributed the day's momentum to rising mutual fund allocations to equities, shifting away from fixed income, as shown in the National Clearing Company data. With macroeconomic indicators improving and remittances hitting a record $38.3 billion, sentiment continued to remain bullish, setting the stage for a potential test of 136,000 in the sessions ahead. Traded value-wise, UBL (Rs2.32 billion), DG Khan Cement (Rs1.64 billion), Attock Refinery (Rs1.61 billion), Hubco (Rs1.44 billion), The Bank of Punjab (Rs1.24 billion) and Maple Leaf Cement (Rs1.19 billion) dominated the trading activity, Topline said. "Stocks closed at a new all-time high in the earnings season rally as investors weighed surging forex reserves that reached $20 billion and upbeat auto sales data, which showed a 38% YoY growth for FY25," said Arif Habib Corp MD Ahsan Mehanti. The revision in development spending to Rs1.05 trillion for FY25 and record remittances played the role of catalysts for the new peak at the PSX, he added. Arif Habib Limited (AHL) wrote in its report that the KSE-100 index enjoyed another solid week, gaining 1.8% week-on-week, on the back of strong corporate earnings and investor interest. On Friday, 55 stocks advanced while 45 declined, where UBL (+2.4%), Hubco (+1.6%) and Millat Tractors (+2.76%) contributed the most to index gains. In contrast, Bank AL Habib (-3.3%), MCB Bank (-1.04%) and HBL (-1.22%) were the biggest drags. UBL announced 1HCY25 earnings per share of Rs26.07, up 99% YoY, and a dividend payout of Rs19 per share. Earnings were in line with expectations while the payout exceeded estimates. For the coming week, technical indicators suggest support at around 132,000, with a potential upside towards 136,000, AHL said. Overall trading volumes were recorded at 765.1 million shares, compared with the previous session's tally of 941.7 million. The value of shares traded during the day was Rs40.2 billion. Shares of 477 companies were traded. Of these, 220 stocks closed higher, 228 fell and 29 remained unchanged. The Bank of Punjab was the volume leader with trading in 94.1 million shares, gaining Rs0.08 to close at Rs13.08. It was followed by Aisha Steel Mills with 25.1 million shares, gaining Rs0.44 to close at Rs12.11 and Kohinoor Spinning Mills with 23.6 million shares, losing Rs0.20 to close at Rs6.69. Foreign investors sold shares worth Rs350 million, the National Clearing Company reported.
Express Tribune
a day ago
- Express Tribune
Stocks wrap up on economic positivity
Listen to article The Pakistan Stock Exchange (PSX) ended the week on a strong footing, with the KSE-100 Index climbing past the 134,000 level during Friday's session. The benchmark index moved within a range, touching an intraday high of 134,931.96 and a low of 134,130.41. It eventually settled at 134,299.77, gaining 517.42 points, or 0.39%, by the close. Investor confidence was evident in broad-based buying, particularly in sectors such as auto assemblers, power generation, refineries, and oil and gas marketing. Despite some weakness in select financial stocks, the broader trend stayed upbeat, supported by consistent interest in key cyclical and energy-related names. Arif Habib Limited reported that the KSE-100 index recorded another solid week of gains, rising by 1.8% week-on-week. On Friday, 55 stocks advanced while 45 declined. The largest contributors to the index gains were United Bank (2.4%), Hub Power (1.6%), and Millat Tractors (2.76%). On the other hand, Bank Al Habib (-3.3%), MCB Bank (-1.04%), and Habib Bank (-1.22%) were biggest drags on the index. In corporate news, United Bank reported earnings for the first half of FY25 with earnings per share of 26.07, marking a 99% year-on-year increase. The company also announced a dividend of 19 per share. While earnings were in line with expectations, the payout exceeded forecasts. Looking ahead, declines below the 132,000 level are expected to find support, while 136,000 remains the key upside target, AHL wrote. KTrade Securities wrote in its market wrap that stocks closed at an all-time high, with the benchmark KSE-100 index gaining 517 points (+0.4% DoD) to settle at 134,299. The rally was driven by strength in the cement, auto, and power sectors, with notable contributions coming from UBL, HUBC, MTL, KTML, PSO, and BWCL. Investor sentiment remained bullish, as reflected in a surge in trading volumes to 764 million shares, it added. Overall trading volume decreased to 765 million shares as compared to Thursday's tally of 941.8 million. The value of shares traded was Rs40.1 billion. Shares of 477 companies were traded. Of these, 220 stocks closed higher, 228 dropped and 29 remained unchanged.
