PSX Extends Bull Run Amid Geopolitical Calm

Pakistan Stock Exchange Extends Gains as Investor Confidence Grows

The Pakistan Stock Exchange (PSX) surged for the second consecutive day, with the KSE-100 index gaining 515 points to close at 122,762. This rise follows Tuesday’s historic 6,000+ point leap — the second-largest single-day increase in PSX history.

What’s Driving the Bull Run?

Investor confidence was boosted by:

  • A US-brokered ceasefire between Israel and Iran

  • Confirmation of $194 million from the World Bank

  • Approval of $350 million from the Asian Development Bank (ADB)

  • Continued improvement in domestic macroeconomic indicators

These developments have strengthened Pakistan’s external financing position — a key requirement under the IMF program.

Market Momentum: Key Sectoral Drivers

According to Arif Habib Corp’s Ahsan Mehanti, major contributors to the rally include:

  • Low inflation trends

  • Rising exports

  • Rupee appreciation

  • Privatisation plans for state-owned enterprises

  • Progress on circular debt management

KTrade Securities noted strong performances in:

  • Banking

  • Cement

  • Fertiliser

  • Food and consumer sectors

Major Gainers on the PSX

Top contributors to the index included:

  • Fatima Fertiliser (+6.54%)

  • Bank AL Habib (+4.15%)

  • HBL (+3.03%)

  • DG Khan Cement

  • National Foods

Trading Summary

  • Volume: 749.8 million shares (down from 804.8 million)

  • Value: Rs28 billion

  • Companies traded: 472

    • Advancers: 274

    • Decliners: 161

    • Unchanged: 37

Top Volume Leaders:

  • WorldCall Telecom: 102.4M shares, closed at Rs1.49

  • Pakistan Refinery: 47.1M shares, closed at Rs35.27

  • Cnergyico PK: 39.6M shares, closed at Rs7.25

Despite the positive momentum, foreign investors offloaded Rs949 million worth of shares.

Pakistan Invites US Investment in Mining Sector to Unlock Vast Mineral Potential

Expert Commentary & Outlook

JS Global’s Mubashir Anis Naviwala said:

“Bullish sentiment continues as optimism around geopolitical stability and economic reforms grows.”

Arif Habib Limited (AHL) highlighted:

“Market fundamentals remain strong, and the rally may continue if ceasefire talks hold and reform momentum sustains.”

Meanwhile, Finance Minister Muhammad Aurangzeb confirmed that US-Pakistan trade talks are progressing positively, further lifting investor sentiment.

Conclusion: Will the Rally Continue?

With geopolitical tensions easing and foreign financing flowing, the PSX bull run appears to have legs — at least in the short term. Strong earnings in banking, fertilizer, and cement, combined with policy continuity, point toward a sustained upward trend.

However, foreign outflows and regional volatility remain risks to watch.

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