PSX soars to record high above 141k
The Pakistan Stock Exchange closed the week on a strong note on Friday as the KSE-100 index surged 1.18% to reach an all-time high of 141,035 points. The bullish momentum was driven by investor optimism following a landmark reciprocal tariff deal with the United States, under which Pakistan's exports would face a reduced 19% tariff, down from the earlier 29%.
The index also drew strength from expectations of a major circular debt clearance package, with the government reportedly seeking Rs1.25 trillion in bank financing to make upcoming payments.
Heavyweights such as Oil and Gas Development Company (OGDC, +9.73%), Pakistan Petroleum Limited (PPL, +7.05%), Hub Power (+4.71%) and Pakistan State Oil (PSO) led the rally, contributing a combined 1,355 points to the index. Traded volume rose to 609.7 million shares, with a total value of Rs50.6 billion, reflecting strong investor participation.
'Stocks closed at a new all-time high as investors weighed 4.1% year-on-year (YoY) inflation for July 2025,' said Ahsan Mehanti, Managing Director of Arif Habib Corp. The likely resolution of circular debt crisis amid government's approval of a Rs1.275 trillion financial restructuring plan, the US tariff deal at 19%, giving an edge over regional peers, and a reduction in fuel prices played the role of catalysts in bullish activity at the PSX, he said. At the end of trading, the benchmark KSE-100 index posted a surge of 1,644.56 points, or 1.18%, and settled at 141,034.99.
Arif Habib Limited (AHL) remarked that the market witnessed a 140.5k weekly draw after briefly dipping into the 138.6k-139.4k support zone. A total of 60 stocks advanced while 39 dropped, with OGDC (+9.73%), PPL (+7.05%) and Hubco (+4.71%) driving the index gains. On the downside, Systems Limited (-2.81%), Engro Holdings (-1.07%) and Service Industries (-5.64%) were the major drags. The index posted a weekly gain of 1.3%.
July's Consumer Price Index (CPI) rose to 4.1% YoY, up from 3.2% in June. In corporate developments, NexGen Auto, a Nishat Group unit, announced plans to set up a $100 million electric vehicle plant in partnership with China's Chery Automobile, with production expected to begin in October, AHL mentioned.
'Bulls dominated the trading session as the KSE-100 increased 1.18% to close at its highest-ever level at 141,035,' Topline Securities said in its review. The positivity could be attributed to news that Pakistan secured a landmark tariff deal with the US, wherein Islamabad would now face reciprocal tariffs of 19% compared to the earlier rate of 29%, it said.
Apart from that, Topline added, the government would make payments to clear circular debt in the coming weeks by obtaining Rs1.25 trillion from banks, which would provide stimulus to the market.
Muhammad Hasan Ather of JS Global wrote that the KSE-100 rallied as it surged 1,645 points by the close of trading. Investor sentiment soared following the US decision to impose a reduced 19% reciprocal tariff on Pakistani goods.
Key sectors – cement, banks, fertiliser and energy – drove the rally, with heavyweights like Mari Petroleum and OGDC trading strongly. Looking ahead, if macroeconomic and trade conditions continue to improve, the PSX may sustain its bullish momentum in the near term, Ather said.
Overall trading volumes were recorded at 609.7 million shares, compared with the previous day's tally of 577.3 million. Shares of 483 companies were traded. Of these, 199 stocks closed higher, 246 fell and 38 remained unchanged.
WorldCall Telecom was the volume leader with trading in 55.1 million shares, remaining unchanged at Rs1.46. It was followed by PPL with 43 million shares, gaining Rs11.97 to close at Rs181.78 and OGDC with 37 million shares, gaining Rs22.66 to close at Rs255.67. Foreign investors sold shares worth a net Rs613.6 million, the National Clearing Company reported.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Express Tribune
an hour ago
- Express Tribune
PSX breaks 141k barrier in volatile week
Foreign funds would divert their liquidity into buying Pakistan's stocks. This would merely increases prices of shares and be profitable for those who already hold stocks. PHOTO: FILE Listen to article The benchmark KSE-100 index at the Pakistan Stock Exchange (PSX) closed at a historic high of 141,035 points in the outgoing week, gaining 1,828 points (+1.3% week-on-week – WoW), driven by optimism about a new US-Pakistan trade agreement that cuts tariffs and boosts investment. The rally was led by oil and export goods-related stocks. Despite inflation rising to 4.1% in July, the SBP kept its policy rate unchanged at 11%. The rupee appreciated slightly to 282.72 against the US dollar, while State Bank's reserves fell $153 million to $14.3 billion. During the week, the Federal Board of Revenue (FBR) beat its tax collection target, receiving Rs754 billion in July (+14% year-on-year – YoY). Meanwhile, petrol prices dropped Rs7.54 per litre and high-speed diesel rose Rs1.48/litre. With corporate result season in full swing and attractive market valuations, sentiment is expected to stay positive, said analysts. On a day-on-day basis, another attempt went in vain on Monday, when the PSX failed to close above the key psychological level of 140,000. The KSE-100 index ended the day at 139,380, up 173 points. The market witnessed a profit-taking-cum-sector switching day on Tuesday ahead of monetary policy meeting on July 30. The index closed at 137,965, down 1,415 points. On Wednesday, the SBP surprised markets by holding policy rate at 11%, triggering a sharp dip in the KSE-100 index to the intra-day low of 137,659. However, renewed buying in banking blue-chips helped the index rebound, which closed up 447 points at 138,412. The stock market saw sharp swings on Thursday, rising to intra-day high of 140,215 (+1,802 points) and dipping to intra-day low of 139,084 (-672 points). The index eventually settled at 139,390, posting a net gain of 978 points. A strong surge in energy stocks pushed the index to a new all-time high of 141,035 on Friday, up 1,645 points. The rally was fuelled by prospects of collaboration between Pakistan and the US in oil exploration and expected circular debt payments next week. Arif Habib Limited (AHL) wrote in its weekly review that the KSE-100 index extended its upward trajectory during the outgoing week, closing at an all-time high of 141,035, a WoW increase of 1,828 points. The rally was driven by renewed optimism about international cooperation and the ongoing results season. Pakistan and the US on Thursday signed a new trade agreement, which is expected to reduce tariffs and boost bilateral investment, AHL mentioned. The State Bank, however, held its policy rate steady at 11%, citing concerns about the inflation outlook and the widening trade deficit. It pointed out that the price of petrol decreased Rs7.54 to Rs264.61/litre, while the price of diesel increased Rs1.48 to Rs285.83/litre, effective from August 1. The Consumer Price Index (CPI) for July stood at 4.1% YoY compared to 3.2% in June. Tax collection rose 14% YoY to Rs754 billion during July, exceeding the target of Rs748 billion. Meanwhile, the Pakistani rupee appreciated marginally by 0.3% WoW, closing at 282.72 to a dollar, added AHL. JS Global analyst Syed Danyal Hussain commented that after a weak start to the week, the PSX rebounded sharply in the last two sessions, closing at 141,035 points, up 1.3% WoW. The index also touched a new high of 141,161 points during the week. Average daily turnover decreased 12% WoW. The rebound was primarily driven by a historic US deal aimed at tapping Pakistan's oil reserves, which triggered a strong rally in oil stocks. Sentiment was further supported by the US reducing tariffs on Pakistan's exports to 19% from the previously announced 29% in April 2025, effective from August 2025, Hussain said. On the economic front, the State Bank kept its policy rate unchanged at 11% against market expectations of a reduction, he added.
Express Tribune
15 hours ago
- Express Tribune
Gold soars to Rs359,000 per tola amid international spike
Listen to article Gold prices surged on Saturday, both internationally and in the domestic market, as investors flocked to the precious metal amid mounting global economic uncertainties. According to market data, the price of gold in the international bullion market rose by a staggering $61 per ounce, pushing the rate to an unprecedented $3,363 per ounce. The sharp uptrend reflects growing concerns over a weakening US dollar and fears of a potential global economic slowdown. In response to the international spike, domestic gold prices also recorded a significant increase. In Pakistan, the price of gold jumped by Rs6,100 per tola, reaching Rs359,000. Similarly, the rate for 10 grams climbed by Rs5,229 to settle at Rs307,784. On Friday, the per tola price had briefly dipped by Rs100, settling at Rs352,900 before rebounding sharply by the end of the day. Meanwhile, silver prices also posted gains, with the per tola rate rising by Rs53 to close at Rs3,953.
Business Recorder
16 hours ago
- Business Recorder
Gold price per tola gains Rs6,100 in Pakistan
Gold prices in Pakistan increased on Saturday in line with their gain in the international market. In the local market, the gold price per tola reached Rs359,000 after an increase of Rs6,100 during the day. As per the rates shared by the All-Pakistan Gems and Jewellers Sarafa Association (APGJSA), 10-gram gold was sold at Rs307,784 after it gained Rs5,229. On Friday, the gold price per tola reached Rs352,900 after a loss of Rs100 during the day. The international rate of gold increased today. As per APGJSA, the rate was at $3,363 per ounce (with a premium of $20), a gain of $61. Meanwhile, the silver price per tola stood at Rs3,953, accumulating Rs53 during the day.
