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Express Tribune
a day ago
- Business
- Express Tribune
Pak-US deal optimism drives PSX to peak
The Pakistan Stock Exchange (PSX) soared to a new record high on Monday as optimism about potential US investment under a trade deal, record remittances and robust corporate earnings fuelled investor interest. The benchmark KSE-100 index gained 1,547.05 points, or 1.06%, to close at 146,929.84, driven by bullish sentiment in exploration and production (E&P) and banking sectors. Ahsan Mehanti of Arif Habib Corp commented that stocks closed at a new all-time high amid strong financial results and speculation about a positive outcome of finer details of US investment under the Pakistan-US trade deal. Record remittances of $3.2 billion in July, rupee stability and expectations of a surge in exports due to the India-US tariff conflict drove the bullish close at the PSX, said Mehanti. In its review, Topline Securities said that bulls tightened their grip as the KSE-100 index rocketed to the intra-day high of 1,622 points before settling at 146,930, up a solid 1,547 points. Sentiment surged after reports of US firms gearing up to invest in Pakistan's energy sector, further reinforced by better-than-expected corporate results. Market giants Mari Petroleum, Bank AL Habib, Oil and Gas Development Company (OGDC), Meezan Bank and MCB Bank dominated the rally, together pumping 959 points into the index and reaffirming the market's risk-on mood, added Topline. In its commentary, Arif Habib Limited (AHL) stated that the weekly draw at 146,800-147,000 was hit on Monday, with the day's high at 147,005 points. Some 67 shares rose while 32 fell, with Mari Petroleum (+7.68%), Bank AL Habib (+4.22%) and OGDC (+2.44%) contributing the most to index gains. On the flip side, Engro Fertilisers (-1%), Systems Limited (-0.79%) and Engro Holdings (-0.47%) were the biggest drags, mentioned AHL. Among corporate results, Mari Petroleum reported FY25 earnings per share (EPS) of Rs54.25, a decrease of 16% year-on-year (YoY), and dividend per share of Rs21.70. Fauji Cement declared FY25 EPS of Rs5.43, an increase of 62% YoY, and dividend per share of Rs1.25. Meanwhile, Attock Refinery posted FY25 EPS of Rs112.3, down 53% YoY, and dividend per share of Rs10. Lucky Cement reported FY25 EPS of Rs52.53, up 19% YoY, and dividend per share of Rs4. AHL noted that National Refinery (+10%) revalued the surplus of leasehold land by Rs46 billion in its financial accounts, according to an exchange filing. Its FY25 net loss per share narrowed to Rs185.9 vs Rs197.5. JS Global analyst Muhammad Hasan Ather remarked that the KSE-100 index soared 1,547 points as bullish momentum prevailed, boosted by strong buying across banking, oil & gas, auto and refinery sectors. The surge was underpinned by robust investor confidence, favourable corporate earnings and optimism fuelled by economic stabilisation measures and trade expectations, he said. AHL Deputy Head of Trading Ali Najib said that bulls were marching towards 150,000 with full excitement as KSE-100 breached the 146,000 mark and closed just below 147,000 (+1,547 points). Sentiment remained strong in the backdrop of Pakistan-US trade deal. The investor community is anticipating that the visit of army chief could lead to further favourable terms for Pakistani exports to the US, he said. The E&P sector led the day in the wake of news regarding circular debt resolution, which is likely to be announced soon, added Najib. Overall trading volumes increased to 611.2 million shares compared with Friday's tally of 548.1 million. Traded value decreased to Rs44 billion as compared to Rs45.5 billion in the previous session. Shares of 479 companies were traded. Of these, 242 stocks closed higher, 209 dropped and 28 remained unchanged. Lotte Chemical was the volume leader with trading in 73.3 million shares, gaining Rs0.54 to close at Rs21.8. It was followed by Siddiqsons Tin Plate with 21.2 million shares, gaining Rs0.51 to close at Rs7.55 and Invest Bank with 20 million shares, gaining Rs0.8 to close at Rs8.68. Foreign investors sold shares worth Rs115 million, the National Clearing Company reported.
Express Tribune
28-07-2025
- Business
- Express Tribune
PSX rises modestly but couldn't hold 140k level
The Pakistan Stock Exchange (PSX) closed modestly higher on Monday as the benchmark KSE-100 index rose 173 points to close at 139,380. Investor sentiment was buoyed by optimism ahead of the State Bank of Pakistan's (SBP) monetary policy announcement and the credit rating upgrade, bringing Pakistan's rating to 'B-' with a stable outlook. Despite briefly crossing 140,000 during early trade, led by cement, technology and fertiliser stocks, profit-taking in banking-sector blue chips pulled the index below the threshold by the close of the session. According to Ahsan Mehanti of Arif Habib Corp, stocks closed higher amid speculation ahead of the SBP policy announcement on July 30. Pakistan's sovereign bonds surged after S&P Global lifted its credit rating to 'B-'. Additionally, a strong earnings outlook and surging global crude oil prices drove the positive close at the PSX, Mehanti said. At the end of trading, the benchmark KSE-100 index recorded an increase of 172.77 points, or 0.12%, and settled at 139,380.06. In its review, Topline Securities noted that the market remained range bound throughout the session, fluctuating between the intra-day high of 140,149 and intra-day low of 139,196. The banking sector faced pressure amid expectations of policy rate cut, while the cement sector saw positive momentum following approval of a housing finance subsidy scheme by the Economic Coordination Committee, it said. Top contributors to the index included Lucky Cement, Systems Limited, Pakistan State Oil, Fatima Fertiliser and Sazgar Engineering Works, which collectively added 379 points. On the other hand, UBL, Meezan Bank and Bank Alfalah were the major laggards, dragging the index down by 261 points, Topline added. Arif Habib Limited (AHL) Deputy Head of Trading Ali Najib remarked that the PSX again attempted to pass the 140,000 mark but in vain as the KSE-100 index ended the day at 139,380 points. He pointed out that the session resumed on a buoyant note and the index touched intra-day high of 140,149 (up 942 points) in early hours. However, the buying spree proved short-lived as the market succumbed to selling headwinds and ultimately lost the 140,000 level to profit-taking. Over the weekend, Foreign Minister Ishaq Dar stated that Pakistan and the US were "very close" to finalising a trade deal, possibly within days. However, the US side, following Dar's meeting with Secretary of State Marco Rubio, did not confirm any timeline. If the deal is finalised, it could boost exports, attract investment and improve market sentiment. It may also strengthen the rupee, though delay could dampen immediate economic impact, Najib said. The stars of the day were Lucky Cement, Systems Limited, Fatima Fertiliser, Pakistan State Oil and Sazgar Engineering Works, which added 379 points. On the other hand, the index lost 384 points due to some selling in banking sector blue-chip stocks, namely UBL, Meezan Bank, Bank Alfalah, HBL and MCB Bank. "This selling can be attributed to street expectations of a 50-basis-point cut in the upcoming monetary policy meeting," the analyst said. "The outlook is still intact as 137,000 will continue to act as strong support for the KSE-100. If breached, the index may be pushed towards 135k, where attractive valuations and anticipated monetary easing can trigger renewed buying interest," Najib commented. JS Global analyst Mohammad Waqar Iqbal said that the benchmark index ended the day largely flat despite a strong start as it gave up early gains. Market sentiment was influenced by the ongoing corporate earnings season and anticipation surrounding the upcoming monetary policy announcement, he said. Overall trading volumes decreased to 589.3 million shares compared with Friday's tally of 634.8 million. Traded value increased to Rs34.6 billion as compared to Rs24.6 billion in the previous session. Overall, shares of 483 companies were traded. Of these, 251 stocks closed higher, 205 dropped and 27 remained unchanged. Aisha Steel Mills was the volume leader with trading in 51.8 million shares, gaining Rs0.42 to close at Rs12.76. It was followed by Agha Steel Industries with 46.6 million shares, rising Rs0.94 to close at Rs9.92 and The Bank of Punjab with 23.8 million shares, falling Rs0.11 to close at Rs13.49. Foreign investors sold shares worth Rs750.6 million, the National Clearing Company reported.
Express Tribune
30-06-2025
- Business
- Express Tribune
Stocks close FY25 at new all-time high
Listen to article The Pakistan Stock Exchange (PSX) closed the 2024-25 fiscal year at a record high on Monday, where the benchmark KSE-100 index surged by a fresh 1,248 points, or 1%, and closed at 125,627. Investor sentiment surged due to strong traded volumes following a $3.4 billion loan rollover by China, which boosted foreign currency reserves to over $14 billion, enabling the country to meet the IMF's reserves requirement. Optimism about new policy reforms as well as Pakistan topping Global Emerging Market Rankings in Default Risk Reduction over the past year fuelled the bullish sentiment. The benchmark index saw intra-day high of 1,369 points before closing a little lower with a gain of 1,248 points day-on-day. According to Ahsan Mehanti of Arif Habib Corp, stocks hit a new all-time high at the year-end close, driven by record trade volumes following the rollover of $3.4 billion financing by China, which boosted foreign exchange reserves to over $14 billion, meeting the IMF's June 30 target and supporting rupee stability. Additionally, an anticipated cut in industrial power tariffs, alongside government's deliberations on the privatisation of state-owned enterprises, and higher global equities played the role of catalysts in record close at the PSX, noted Mehanti. In its review, Topline Securities commented that the local bourse wrapped up the fiscal year on a high note, carrying forward last week's bullish momentum with another stellar performance. The benchmark KSE-100 index soared to intra-day high of 1,369 points before closing with a gain of 1,248 points (up 1%) and settling at 125,627. The upbeat sentiment was fuelled by strong fiscal year-end flows and a significant external trigger-China's rollover of $3.4 billion in commercial loans. This move helped Pakistan meet the IMF's foreign reserves requirement of around $14 billion, reinforcing investor confidence, added Topline. Heavyweights like Fauji Fertiliser Company, HBL, Bank AL Habib, UBL, Pakistan Oilfields, Faysal Bank and Pakgen Power led the charge, which collectively contributed +724 points to the index, stated the brokerage. Market participation remained robust with a total of 1,141 million shares traded and an overall traded value of Rs35.1 billion. Volume leader WorldCall Telecom saw an impressive 139.9 million shares change hands. In terms of traded value, top contributors included Pakistan Aluminium Beverage Cans (Rs1.50 billion), Faysal Bank (Rs1.22 billion), National Foods (Rs1.10 billion), Oil and Gas Development Company (Rs957.9 million), Pakistan Petroleum (Rs789.5 million), Pakistan State Oil (Rs736.8 million) and Fauji Fertiliser Company (Rs659.9 million). With sentiment riding high and macro support in place, the market appears well-positioned as it steps into the new fiscal year, remarked Topline.
Express Tribune
04-06-2025
- Business
- Express Tribune
Stocks hit record as ADB loan fuels rally
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 Pakistan Stock Exchange (PSX) on Tuesday soared to an all-time high above 120,000 points as investor optimism grew following a string of positive economic developments. The approval of a $800 million loan by the Asian Development Bank (ADB) for Pakistan's public finance programme and the government's approval of a Rs880 billion Public Sector Development Programme (PSDP) bolstered market sentiment. The KSE-100 index surged to the intra-day high of 1,816 points, before closing the day with an increase of 1,573 points at 120,451. Commercial bank, fertiliser and cyclical stocks led to broad-based gains while higher trading volumes, which reached 578 million shares, reflected renewed investor confidence. According to Ahsan Mehanti of Arif Habib Corp, stocks closed at an all-time high, led by across-the-board activity, after the ADB approved a $800 million financing package. Additionally, the government set the FY26 growth target at 4.2% and approved Rs880 billion for the PSDP. Mehanti added that budgetary relief was expected to be announced for oil refineries, real estate and the agricultural sector. This, alongside the rupee appreciation, played the role of catalyst in bullish close at the PSX. At the end of trading, the benchmark KSE-100 index recorded an increase of 1,573.07 points, or 1.32%, and settled at 120,450.87. In its review, Topline Securities commented that bulls maintained their firm grip on the market, propelling the KSE-100 index to a record close at 120,451, supported by renewed investor confidence and an improving macroeconomic outlook. The index surged to the intra-day high of 1,816 points as momentum picked up sharply after news broke that the ADB had approved a $800 million loan under Pakistan's public finance programme – a major vote of confidence in the country's economic reform trajectory. Adding fuel to the rally, the International Monetary Fund (IMF) gave its nod to Pakistan's budget proposals, reinforcing hopes of continued fiscal discipline and policy continuity, Topline said. Driving Tuesday's rally were key index movers including Fauji Fertiliser Company, HBL, Engro Fertilisers, Lucky Cement and Bank AL Habib, which contributed 691 points, it added. In its commentary, Arif Habib Limited (AHL) remarked that the KSE-100 index unlocked 120,000 points at close on Monday, which bodes well for further upside during the remaining week. Some 65 shares rose while 31 fell, with Fauji Fertiliser Company (+1.79%), HBL (+5.19%) and Engro Fertilisers (+3.56%) contributing the most to index gains. On the flip side, Systems Limited (-0.84%), Service Industries (-1.55%) and Haleon Pakistan (-2.32%) were the biggest drags, it said. AHL also mentioned that the ADB approved $800 million for Pakistan's public finance programme aimed at strengthening fiscal sustainability and improving financial management. Meanwhile, the anti-trust body fined fertiliser makers for fixing a higher sale price, which adversely impacted farmers. "Holding 120k will allow the KSE-100 to extend gains towards 125k," it projected. JS Global analyst Mubashir Anis Naviwala said that the benchmark index surged throughout the day and reached a historic high at 120,451 points. Buying interest was witnessed across commercial banks, fertiliser and cyclical stocks, driving broad-based gains, he said. "With the index at the all-time high, a breakout could lead to fresh momentum and attract further institutional participation. We recommend investors to capitalise on this and invest in fundamentally strong stocks in the fertiliser, cement and banking sectors on any intra-day pullbacks," Naviwala stated. Overall trading volumes increased to 578.2 million shares compared with Monday's tally of 497.9 million. The value of shares traded was Rs26.8 billion. Shares of 467 companies were traded. Of these, 232 stocks closed higher, 187 fell and 48 remained unchanged. K-Electric was the volume leader with trading in 144.6 million shares, gaining Rs0.23 to close at Rs5.32. It was followed by Faysal Bank with 26.7 million shares, gaining Rs4.89 to close at Rs53.77 and Invest Bank with 25.5 million shares, gaining Rs0.04 to close at Rs2.35. Foreign investors sold shares worth Rs956 million, the National Clearing Company reported.
Express Tribune
02-06-2025
- Business
- Express Tribune
Stocks close bearish amid tax hike concerns
The Pakistan Stock Exchange (PSX) endured a volatile session on Monday as investor interest remained muted ahead of the federal budget announcement. The KSE-100 index reached the intra-day high of 1,018 points before hitting the low of 899 points and closing at 118,878, a drop of 813 points, or 0.68%. Analysts attributed the bearish activity to reports of proposed tax hikes on banking and saving schemes as well as additional petroleum levies. Moreover, the inflation rate accelerated last month, reversing the decline recorded in previous months. The Consumer Price Index (CPI) rose 3.5% year-on-year in May on account of a jump in food prices, which further dampened market sentiment. Ahsan Mehanti of Arif Habib Corp commented that stocks closed under pressure in the pre-budget session. Reports of higher taxes on income from banking and saving schemes and petroleum levies in the FY26 budget impacted sentiment. Mehanti added that concerns over geopolitical tensions and rupee fluctuations also played the role of catalysts in bearish close at the PSX. At the end of trading, the benchmark KSE-100 index recorded a decrease of 813.29 points, or 0.68%, and settled at 118,877.81. In its review, Topline Securities stated that the stock market exhibited volatility, with the index fluctuating within a wide band, primarily influenced by global market trends. Local equities faced selling pressure amid uncertainty surrounding the upcoming budget and the government's proposed 2-3% hike in tax rate on passive income. The KSE-100 index reached the intra-day high of 1,018 points and intra-day low of 899 points, eventually closing at 118,878, a drop of 813 points, it said. Topline noted that the upward momentum was supported by notable gains in Pakgen Power, National Foods, Meezan Bank, the National Bank of Pakistan and Bank AL Habib, which added 201 points to the index. Conversely, losses in Systems Limited, Engro Holdings and Pakistan Petroleum dragged the index down by 341 points. In its commentary, Arif Habib Limited (AHL) said that Monday marked another session when the KSE-100 closed below 120,000 points. Some 29 shares rose while 71 fell, with Pakgen Power (+10%), National Foods (+9.93%) and Meezan Bank (+0.72%) contributing the most to index gains. On the flip side, Systems Ltd (-4.98%), Engro Holdings (-1.76%) and Pakistan Petroleum (-1.78%) were the biggest drags, it said. Pakistan's inflation rate accelerated in May, driven by a jump in food prices and reversing the decline seen in the last few months. The CPI rose 3.5% year-on-year, above AHL expectations of 3.04%. "The KSE-100 continues to tread water below 120,000 and several key support levels below 120k appear to be inevitable," AHL commented. JS Global analyst Mubashir Anis Naviwala commented that the PSX opened on a positive note and rallied to the intra-day high of 120,591 points. Later, selling pressure dragged the index down to close at 118,878, lower by 813 points. "Looking ahead, we expect market pressure to persist in the near term; however, this may present a buying opportunity in select sectors. Investors are advised to accumulate fundamentally strong stocks in the cement, automobile and fertiliser sectors on dips," the analyst added. Overall trading volumes decreased to 497.9 million shares compared with Friday's tally of 580.3 million. The value of shares traded was Rs23.5 billion. Shares of 464 companies were traded. Of these, 193 stocks closed higher, 231 fell and 40 remained unchanged. Dewan Cement was the volume leader with trading in 40.4 million shares, gaining Rs0.60 to close at Rs12.67. It was followed by Invest Bank with 31.9 million shares, gaining Rs0.84 to close at Rs2.31 and K-Electric with 30.9 million shares, falling Rs0.23 to close at Rs5.09. Foreign investors sold shares worth Rs1.97 billion, the National Clearing Company reported.
