The Pakistan Stock Exchange’s (PSX) benchmark KSE-100 Index surged past the 53,000 level on Friday, surpassing the all-time high of 53,127.24 recorded in May 2017 during intra-day trading.
Around 10:46 am, the benchmark index reached 53,140.65, marking the highest intra-day level ever achieved by the KSE-100 Index. During the day, the KSE-100 gained 483.89 points, or 0.92 per cent.
It later peaked at 53,263.07, exceeding the previous-best level. By the mid-session break, the KSE-100 settled at 53,111.30, a gain of 454.54 points or 0.86 per cent.
This remarkable surge was attributed to what market analysts dubbed a ‘pre-election rally’.
A brokerage house expressed optimism, stating that the PSX had the potential to reach near 50,000, indicating the market’s resilience and positive sentiment.
Notably, the KSE-100 Index had never closed above 53,000 before. Its previous highest closing was 52,876.46, recorded on May 24, 2017.
The upward trajectory continued from the previous day, when the KSE-100 Index closed higher for the fourth consecutive session, settling at 52,656.76.
This increase of 314.12 points, or 0.60 per cent, was fueled by the robust momentum following the first review of the IMF’s $3 billion standby arrangement (SBA).
Market participants welcomed this development, acknowledging it as a significant recovery for the PSX, which had been under pressure due to various factors.
Analysts highlighted that valuations remained low, with the KSE-100 hitting a record intra-day high, providing investors with ample opportunities.
The achievement is noteworthy, especially considering the 6.5-year period it took for the Pakistan benchmark stock index to reach this all-time high.
Investors were particularly encouraged by the fact that this record high accounted for the total return, including dividends and bonuses, further bolstering market confidence.
Analysts believe that a reduction in economic and political uncertainties could propel Pakistan’s stock market to even greater heights, underscoring the potential for further growth and stability in the country’s financial landscape.
Pakistan’s stock market broke the previous all-time high record but closed 3 points lower. Nevertheless, it remains a significant achievement.
