Karachi – July 14, 2025:
The Pakistan Stock Exchange (PSX) kicked off the week on a historic high note, with the benchmark KSE-100 index surpassing the 136,000-point level during intraday trading for the first time ever. This milestone reflects surging investor confidence, improving economic fundamentals, and strong institutional buying.
The KSE-100 opened at 134,299.76 points and gained 1,841.11 points (+1.37%) to reach an intraday peak of 136,012.05 points, before settling at 135,366.18 points during the trading session, marking a gain of 1,066.42 points (+0.79%).
🔹 Strong Market Performance
- Intraday High: 136,012.05
- Intraday Low: 134,937.43
- Volume Traded: 134.9 million shares
- Value Traded: Rs 11.12 billion
This follows last week’s robust performance, where the index surged 2,351 points (+2% WoW) to close at 134,300. The rally is driven by upbeat macroeconomic data, foreign investment inflows, and optimism around structural reforms.
🔑 Key Catalysts Behind the Bull Run
- Remittances: Reached a historic $3.4 billion in June, pushing FY25 inflows to $38.3 billion (+27% YoY).
- SBP Reserves: Rose by $1.8 billion to $14.5 billion, the highest in 39 months.
- Auto Sector Boom: June car sales surged 64% YoY and 47% MoM, with FY25 sales up 43%.
- Foreign Investment: A $2 billion investment from Azerbaijan and a new US-Pakistan trade agreement lifted market sentiment.
- Debt Reduction: Government retired Rs 1.5 trillion in public debt early, adding to fiscal credibility.
- Panda Bonds: Expectations of bond issuance to support reserves and attract Chinese capital.
🏛️ Government Reaction
Prime Minister Shehbaz Sharif hailed the PSX’s historic high, calling it a “reflection of the business community’s growing confidence in Pakistan’s economy.”
“The recent performance of the stock market shows that our policies are working. We’ve moved from economic stability toward growth,” the PM’s Office said in a statement.
He reiterated the government’s commitment to providing a business-friendly environment and implementing structural economic reforms.
📊 Valuation & Outlook
- Forward P/E Ratio: 6.8x
- Dividend Yield: 7.4%
Despite the record levels, analysts believe the market is still undervalued compared to regional peers. However, with such rapid gains, some profit-taking is expected in the short term.
🧠 Analyst Top Picks
Leading brokerage houses have highlighted the following stocks as top picks:
- Oil & Gas: OGDC, Pakistan Petroleum, PSO
- Banking: Meezan Bank, MCB Bank
- Power & Utilities: Hubco
- Technology: Systems Limited
📌 Looking Ahead
With strong earnings expectations, rising foreign interest, and stabilizing economic indicators, the PSX appears well-positioned to continue its upward trend — though investors are advised to watch for corrections.
