The Pakistan Stock Exchange (PSX) launched the new fiscal year 2025–26 with remarkable strength, as the KSE-100 Index hit record high, showcasing investor optimism and renewed trust in the country's economic direction.
On Tuesday, the benchmark KSE-100 Index surged by 2,515 points in a single session—soaring past three critical levels of 126,000, 127,000, and 128,000—to settle at an all-time high of 128,142 points. It was a historic day for the market, marking the biggest-ever leap across multiple thresholds within a single trading day.
Reacting to this development, Prime Minister Shehbaz Sharif expressed satisfaction over the PSX’s stellar performance. He described it as “a promising start to the new fiscal year” and “a reflection of growing confidence in the government’s economic policies.”
“The bullish run and the KSE-100 reaching a record level demonstrate renewed investor trust in the government's fiscal and structural reforms,” the Prime Minister said in an official statement. “The confidence of the business community and investors is strengthening with each passing day.”
Calling the surge “good news and a sign of economic progress,” PM Shehbaz credited last year’s gradual economic recovery to his government's effective policy framework. “The new financial year will prove to be a milestone in the journey towards economic stability,” he added. He also lauded the efforts of the economic team and acknowledged the business community’s critical role in the country’s development and prosperity.
Market momentum was fueled by buying in key sectors such as banking, energy, and automobiles. Index-heavyweights like HUBCO, MARI, PRL, POL, MCB, MEBL, and NBP all traded in the green, pushing the market higher.
According to Mohammed Sohail, CEO of Topline Securities, the rally was driven by “budget clarity and declining interest rates, which prompted increased equity exposure from domestic investors.” Waqas Ghani, Head of Research at JS Global, echoed similar sentiments, pointing to “an improved geopolitical outlook and a stronger macroeconomic environment.”
The PSX had already shown strong signs of recovery on the last trading day of FY 2024–25, with the KSE-100 Index closing at 125,627 points after gaining over 1,200 points, setting the stage for Tuesday’s record-breaking session.
While global markets remained mixed, Pakistan’s capital market stood out as a beacon of growth. As the KSE-100 Index hits record high levels, analysts believe this may just be the beginning of a promising fiscal year for investors and the broader economy.
