KSE-100 index surges over 900 points, crosses 122,500 in intraday rally
KARACHI – The Pakistan Stock Exchange (PSX) soared to a historic high on Tuesday, driven by bullish investor sentiment ahead of the presentation of the federal budget for fiscal year 2025–26. The KSE-100 index surged by more than 900 points, crossing the 122,500 mark in intraday trading for the first time ever.
Resuming after the extended Eid holidays, the market opened strong and sustained momentum throughout the session. By 11:30am, the benchmark index had climbed to 122,161.81, up 520.81 points (0.43%), later peaking at 122,558 points, setting a new all-time high.
The rally was fuelled by aggressive buying in key sectors such as banking, oil and gas exploration, refining, and fertilisers. Leading the charge were heavyweights like Pakistan Refinery Limited (PRL), Wafi Energy, Mari Petroleum (MARI), Oil and Gas Development Company (OGDC), Pakistan Oilfields (POL), HBL, MCB, and Meezan Bank (MEBL) — all of which posted strong gains.
Market analysts attribute the surge to growing optimism surrounding the budget announcement, set to be delivered later today by Finance Minister Muhammad Aurangzeb in the National Assembly. Investors are eyeing potential incentives, tax reforms, and development spending that could benefit the corporate sector.
“The market is responding positively to expectations of a business-friendly budget and clarity on the government’s fiscal roadmap,” said a senior analyst at a Karachi-based brokerage. “Ongoing engagement with the IMF has further boosted investor confidence.”
The budget for FY2025–26 is expected to total around Rs17.6 trillion, with key fiscal policy decisions to be revealed in the Finance Bill 2025, which will also be presented before the Senate under Article 73 of the Constitution.
Tuesday’s rally follows a strong performance last week, where the KSE-100 gained 1,950 points (1.6%), closing at 121,641 points on Thursday, despite a shortened four-day trading week due to Eid.
Global sentiment also lent support, with Asian markets trading higher for a second straight session amid easing US-China trade tensions. The MSCI Asia-Pacific Index (excluding Japan) rose 0.5%, while Nasdaq and S&P 500 futures gained 0.62% and 0.43% respectively. EUROSTOXX 50 and FTSE futures edged up 0.1%.
The PSX’s performance reflects growing market optimism as Pakistan looks to stabilize its economy and drive growth through fiscal discipline and strategic investment.
