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The Pakistan Stock Exchange (PSX) continued its historic rally on Monday as the benchmark KSE-100 Index settled at a fresh all-time high after crossing the 187,000 level. The index gained 2,662 points, or 1.44 percent, to close at 187,761, reflecting strong investor confidence and sustained buying interest throughout the session.
The ongoing surge in the PSX is largely backed by expectations of an imminent monetary easing. Investors are increasingly factoring in a possible 50 basis points interest rate cut in the upcoming monetary policy, which has strengthened sentiment across key sectors. Lower interest rates typically support equities by reducing borrowing costs and improving corporate profitability, making stocks more attractive compared to fixed-income investments.
Market optimism was further reinforced after a recent Topline Securities report highlighted select stocks including NML, AICL, IGIHL, and LUCK as trading at attractive discounts to their sum of the parts (SOTP) valuations. On the index side, heavyweights such as ENGROH, UBL, HUBC, FFC, MEBL, and SRVI played a decisive role, together contributing over 1,550 points to the benchmark’s gain.
Commenting on the session, a market analyst said, “The rally shows strong confidence in macroeconomic stability and expectations of supportive monetary policy, though volumes suggest investors remain selective.”
Despite the record close, overall market participation stayed moderate. Total volumes reached 1.19 billion shares, while the value of shares traded stood at Rs. 63.7 billion. Bank of Maharashtra Limited (BML) dominated the volume chart, with over 246 million shares changing hands, making it the most actively traded stock of the day.
The PSX has been on a steady upward trajectory in recent weeks, supported by easing inflation trends, currency stability, and improved outlook on fiscal discipline. Analysts believe continued clarity on interest rates and economic reforms could help sustain momentum, though short-term profit-taking cannot be ruled out at record levels.
