The Pakistan Stock Exchange (PSX) achieved a historic milestone on Tuesday, surpassing the 111,000-point mark for the first time, propelled by strong macroeconomic indicators and anticipation of further rate cut.
The KSE-100 Index surged 1,044.35 points, or 0.95%, to reach an intraday high of 111,014.73, building on Monday’s close of 109,970.38, underscoring continued investor optimism as the market extends its unprecedented streak of gains.
“Anticipation of a rate cut, lower inflation numbers, improved liquidity—particularly buying from funds—and low bond yields making equities an attractive asset class are the key drivers,” said Sana Tawfik, Head of Research at Arif Habib Limited.
The rally highlights improving sentiment around Pakistan’s economic outlook, driven by declining inflation, stronger foreign reserves, and increased economic activity. Investors remain encouraged by ongoing reforms and the potential for further monetary easing, setting the stage for sustained market momentum in the days ahead.
Remittances reached $14.8 billion during the first five months of FY2025, marking a 33.6% year-on-year increase, according to the State Bank of Pakistan (SBP). November alone saw inflows of $2.9 billion, up 29.1% from the same month last year, though slightly lower than October’s figure.
